I have a doubt about authenticity of this news report.
India is well ahead of many countries in space technology. Already more than 10 Satelites are moving in the orbit and working on helping some other countries to put their Space Satellites out there in space.
Israel is a shocking name for Pakistani Population. Using its name will provoke more hatred, hence this news created by pak media.
In actuality,India has not bought the satellite, it is just sending it to space for Israel in return of fees. India does not need to buy any satellites from Israel because India is ahead of Israel in satellite technology.
But there is another news related to Israel, which is actually interesting. The Phalcon airborne radars from Israel are going to be delivered by the end of next month. These will be fitted on to Russian planes which India already has. Among other things, these flying radars will provide India the capability of spying 400 Km inside Pakistan without violating the air space.
Phalcon is the world's most advanced Airborne Early Warning, Command and Control (AEWC&C) system and India is getting three of them. There are plans of buying 3 more later on.
As far as the relation with Israel goes, Israel is India's largest defense supplier, making 40% of India's arms import. While India is Israel's number 1 weapons customer, accounting for 50% of Israels defense hardware sales.