Nice synthesis Kyle! One thing worth flagging on Israel is that the multiplier on R&D grants can often pale in comparison to the tax bill on the future value of IP. The Google acquisition of Waze is the famous example that comes to my mind
Thanks for pointing that out! I think it supports the point I am trying to make: IP retention efforts (or efforts to secure ROI when retention fails) work - provided that you are thoughtful about the upstream incentives. The fact that Israel can attach a tax bill to something like that and still have the M&A activity happening at a stage where the value has been built points to the importance of getting the early support structures right.
Waze acquisition may not have been an "ideal" outcome for Israel, but it was likely net-positive for them taxpayers. That's what's missing in Canada.
Nice synthesis Kyle! One thing worth flagging on Israel is that the multiplier on R&D grants can often pale in comparison to the tax bill on the future value of IP. The Google acquisition of Waze is the famous example that comes to my mind
https://www.haaretz.com/israel-news/business/2014-01-13/ty-article/.premium/googles-tax-bill-for-waze-373m/0000017f-e56f-d62c-a1ff-fd7f5bcd0000
Thanks for pointing that out! I think it supports the point I am trying to make: IP retention efforts (or efforts to secure ROI when retention fails) work - provided that you are thoughtful about the upstream incentives. The fact that Israel can attach a tax bill to something like that and still have the M&A activity happening at a stage where the value has been built points to the importance of getting the early support structures right.
Waze acquisition may not have been an "ideal" outcome for Israel, but it was likely net-positive for them taxpayers. That's what's missing in Canada.