Morning Brew Daily: Google Closes Historic $32B Deal & Nvidia Drops Hot New AI Chip
Release Date: March 19, 2025
Hosts: Neal Freyman & Toby Howell

1. NASA Astronauts' Historic Splashdown

Neal Freyman opened the episode with the triumphant return of NASA astronauts Suni Williams and Butch Wilmore after their extended 286-day mission aboard the International Space Station. Originally slated for eight days, their mission extended due to technical issues with the Boeing Starliner spacecraft.

• Key Achievements:
  • Orbited Earth 4,576 times
  • Traveled 121 million miles
  • Played 142,000 rounds of "Never Have I Ever"

Toby Howell highlighted the serene end to their journey, mentioning, “After 280 days up in space, I hope Suni and Butch just kick back, watch some NCAA tournament games and just do nothing for the next days. They've been working a long time.” (00:51 – 01:32)

2. Google Acquires Whiz in a $32 Billion Deal

In a groundbreaking move, Google has acquired cybersecurity startup Whiz for a staggering $32 billion, marking Google's largest acquisition ever and the biggest in the cybersecurity sector.

• Background:
  • Whiz had previously declined a $23 billion offer from Google last summer.
  • The startup, founded by Assaf Rappaport, is on track to double its annual recurring revenue to $1 billion.
  • Whiz's clientele includes over 45% of Fortune 100 companies.

Neal Freyman emphasized the deal's significance: “It's Google's biggest acquisition in history, far outstripping number two, a $12.5 billion purchase of Motorola Mobility in 2012.” (03:08 – 05:59)

Toby Howell discussed the strategic advantages, stating, “Google can come to you and say, hey, we're going to provide the most secure cloud, that is a huge leg up in this race for supremacy in cloud computing.” (05:31 – 06:49)

3. HR Tech Rivalry: Rippling vs. Deal

The episode delved into the escalating feud between HR tech giants Rippling and Deal, culminating in Rippling's lawsuit accusing Deal of corporate espionage.

• Allegations:
  • Deal allegedly installed a mole within Rippling to steal trade secrets.
  • Rippling set up a "honeypot" Slack channel to trap the suspected spy.

Toby Howell remarked on the intensity of the rivalry: “This is like knock down, drag out battle, because you are right. The HR space is so competitive...” (09:25 – 11:27)

Neal Freyman added context on the competitive landscape: “The HR tech space has been extremely competitive. You have these legacy players like ADP, Workday, SAP and then newer players like Rippling and Deal...” (07:33 – 09:25)

4. Nvidia's GTC Conference and AI Chip Launch

Jensen Huang, CEO of Nvidia, captivated 25,000 attendees at the annual GTC conference, unveiling new AI chips and strategic partnerships.

• Key Announcements:
  • Blackwell Ultra AI Chip: An upgrade from the existing Blackwell chip.
  • Rubin AI Chip: Offers 3.3 times the computing performance of Blackwell Ultra.
  • Partnerships with GM for self-driving cars and collaborations with Disney on AI-integrated robotics.

Neal Freyman summarized the event: “Jensen defended his company's role in the AI revolution and hyped up new families of chips...” (11:27 – 15:07)

Toby Howell highlighted the chip advancements: “The Rubin chip will sport 3.3 times the computing performance of Blackwell Ultra chip.” (12:41 – 15:07)

5. Responding to Competitive AI Models

Following the emergence of the Chinese AI startup Deep Seek, which posed a significant competitive threat to Nvidia by requiring less computing power, Jensen Huang remained optimistic.

• Huang's Response:
  • Emphasized the increasing computational demands of advanced AI models.
  • Asserted that future AI developments would continue to drive the need for high-performance GPUs.

Neal Freyman captured Huang's stance: “I think Deep Seek is actually good for us because the type of inference and reasoning that powers the Deep Seek model... requires more computation than we ever thought possible.” (15:07 – 15:46)

6. Professional Tennis Players' Legal Battle

The Professional Tennis Players Association (PTPA) has filed a lawsuit against the men's and women's tours, alleging antitrust violations and collusion to suppress player earnings.

• PTPA's Demands:
  • Reduced number of tournaments.
  • Consistency in equipment across tours.
  • Improved scheduling to prevent late-night matches.

Neal Freyman discussed the financial disparities: “Novak Djokovic... his career prize money in tennis is $186 million last year alone.” (19:03 – 20:04)

Toby Howell compared tennis to North American sports leagues: “Those North American sports leagues have very powerful players unions... but tennis is very splintered across many different tours.” (20:04 – 21:04)

7. UK's Inflation Basket Updates

The UK's Office of National Statistics (ONS) has updated its inflation basket, reflecting current consumer trends by adding items like yoga mats and virtual reality headsets while removing outdated goods.

• Added Items:

  • Yoga mats
  • Virtual reality headsets
  • Men’s pool flip-flops
  • Mango and pulled pork

• Removed Items:

  • Newspaper advertisements
  • Oven-ready gammon

Toby Howell humorously commented: “The stuff they cut is from a bygone era such as newspaper advertisements... They added yoga mats, pool sliders, virtual reality headsets...” (22:46 – 23:52)

8. Innovations in Mount Everest Logistics

Sherpas in Nepal are adopting drone technology to assist in transporting goods up Mount Everest, enhancing safety and efficiency during the climbing season.

• Drone Capabilities:
  • Carry loads up to 35 pounds
  • Transport emergency supplies swiftly
  • Assist in waste disposal and ladder placement

Neal Freyman explained the financial barriers: “A drone from DJI can cost more than $70,000. That is just a lot of money in a lower-income country like Nepal.” (23:52 – 24:38)

9. NCAA Tournament Selection Controversy

West Virginia Governor Patrick Morrissey criticized the NCAA for West Virginia University's exclusion from the March Madness bracket, alleging biased selection processes favoring the University of North Carolina (UNC).

• Governor’s Claims:
  • UNC was overrepresented in the selection brackets.
  • UNC's Athletic Director serves on the selection committee, posing a conflict of interest.

Neal Freyman outlined the financial implications: “Each unit is worth approximately $2 million that gets paid out. So it's depriving West Virginia of a game...” (25:21 – 27:02)

Toby Howell added context on governance: “UNC's AD is the chair of the selection committee... there's potentially a conflict of interest there.” (26:01 – 26:53)

Conclusion

Neal and Toby wrapped up the episode by encouraging listeners to share the podcast, especially with West Virginia fans disappointed by the NCAA decisions. They highlighted the day's major stories, from monumental tech acquisitions and AI advancements to significant legal battles in sports and HR tech.

Neal Freyman signaled the end with a warm farewell: “Let’s wrap it up there. Thanks so much for starting your morning with us and have a wonderful Wednesday.” (27:02 – 27:32)

Notable Quotes

• Neal Freyman:
  “It's Google's biggest acquisition in history, far outstripping number two, a $12.5 billion purchase of Motorola Mobility in 2012.” (03:08)

• Toby Howell:
  “Rippling is trying to shift the narrative with these sensationalized claims.” (09:25)
  “The Rubin chip will sport 3.3 times the computing performance of Blackwell Ultra chip.” (12:41)
  “This is like knock down, drag out battle...” (09:25)

Key Takeaways

• Tech Acquisitions: Google's acquisition of Whiz signifies a major leap in the cybersecurity and cloud computing landscape.
• AI Advancements: Nvidia continues to lead in AI hardware, despite emerging competitors like Deep Seek.
• Corporate Feuds: The intense rivalry between Rippling and Deal underscores the competitive nature of the HR tech industry.
• Sports Economics: Professional tennis players are challenging established tours to secure better earnings and working conditions.
• Economic Indicators: The UK's updated inflation basket reflects evolving consumer preferences and technological advancements.
• Innovation in Logistics: The integration of drones in Everest expeditions showcases the intersection of technology and traditional roles.
• Academic Sports Governance: The NCAA's selection processes are under scrutiny, highlighting issues of fairness and potential conflicts of interest.

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