TEL AVIV, Israel, Nov. 27, 2023 /PRNewswire/ — Start-Up Nation Central, a non-profit that promotes the Israeli innovation ecosystem around the world, published a summary of the activity in the IL tech ecosystem since the October 7th Hamas attack. Despite ongoing challenges, Israel’s tech ecosystem remains resilient and continues to present investment and M&A opportunities.
With 29 investment rounds totaling nearly $1 billion, the sector is holding strong. A notable investment is the $265 million infusion for Next Insurance. The cybersecurity and health tech sectors are maintaining substantial activity, emphasizing the resilience and growth potential of these verticals. For example, Palo Alto Networks finalized two significant M&A deals, amounting to nearly USD $1 billion, for the acquisition of Talon Cyber Security and Dig Security for $625 million and $350 million respectively.
In addition to consistent deal flow, Israeli tech is also delivering leading-edge products and development. On November 21st, Nvidia announced that the Israel-1 supercomputer is operational two months ahead of schedule. Scheduled to lead AI operations and advance local R&D initiatives, this milestone marks a significant leap forward for the tech giant.
Start-Up Nation Central in collaboration with Viola – Israel’s largest tech investment group, G-CMO Forum for global marketing professionals, and Atreo – a branding and marketing agency- have launched an international campaign emphasizing business continuity and the resilience of Israel’s tech sector. The campaign tagline is: “Israeli Tech Delivers #NoMatterWhat” and has garnered significant traction since its release.
“Even with recent conflicts and global economic shifts, Israel’s tech sector has shown remarkable resilience and adaptability,” said Start-Up Nation Central’s CEO, Avi Hasson, “Israel’s technology sector is a cornerstone of the country’s economy and a dynamic force that has propelled the nation to the forefront of global innovation and will continue to do so”.
Co-founder and Genral Partner of Viola, Shlomo Dovrat: “In Israel, resilience isn’t just a slogan. It’s the enduring spirit that has made our tech sector what it is today. In the past month, we’ve seen over $1.5B of exits and many new investments in Israeli startups, indicating investors’ trust. Viola alone has led two investments during this period and continues to support our current portfolio companies. Israel entered the war with strong fiscal footing, a low GDP/debt rate, and over $200B in reserve. We expect, subject to the developments, that in the first half of 2024, economic activity will resume almost to the same level. We maintain full confidence in Israeli tech’s ability to deliver and innovate, even during these challenging times.”
Israel’s high-tech sector is a powerhouse, contributing 18% to the nation’s GDP, employing 14% of its workforce, generating 30% of income taxes, and driving 50% of exports. The sector’s productivity outperforms OECD peers, anchoring Israel’s growth in recent decades. Israel’s innovation is fueled by a cultivated network and collaborative ecosystem that seamlessly integrates academia, research institutions, investors, multinational companies, and startups, to propel ground-breaking technologies. The dynamic interplay of universities, research institutions, and incubators facilitates entrepreneurial success, driving synergies and cross-sector collaborations. This interconnectedness not only fosters local opportunities but also positions Israeli startups for global expansion, leveraging relationships with international corporations and investors.
About Start-Up Nation Central: Start-Up Nation Central is a non-profit organization that connects Israeli innovation to the world to help international entities solve global challenges. Immersed in the Israeli technology ecosystem, we provide a platform that nurtures business growth and generates partnerships with corporations, governments, investors, and NGOs to strengthen Israel’s economy and society. https://startupnationcentral.org/
About Viola: Viola is Israel’s leading technology-investment group with over $5B AUM. Founded in 2000, Viola has backed over 200 technology companies and stands with a disproportional share of Israel’s successful public listings and M&As, such as ironSource (acquired by Unity), Pagaya (Nasdaq: PGY) and SimiliarWeb (NYSE: SMWB). Viola is a multi-strategy investment group and considered to be the fund of choice for exceptional founders, from inception phase to growth. The group offers equity funding as well as debt and alternative funding for tech companies. For more information: www.viola-group.com
About G-CMO: Founded in 2017, the G-CMO Forum is a community of Israel’s top CMOs from global companies, fast-growing startups, and VCs. Currently, the Forum boasts over 160 members. We raise awareness about the powerful global marketing community in Israel, which serves as a catalyst for the country’s economic growth, positioning Israel as a business and marketing powerhouse.
Photo: https://mma.prnewswire.com/media/2286090/SNC.jpg
SOURCE Start-Up Nation Central (SNC)
