Why Israel Is So Perfect For New Tech Startups
Tech startups in Israel have found massive success in the past few years. 2022 alone had tech companies in Israel making 663 deals raising nearly $15 billion, with the year prior having 57 new companies going public and raising $4 billion. Israel is top 3 in the world for both R&D expenditure per capita as well as number of machine learning and AI startups. Israeli companies also make up a third of all cybersecurity unicorns. Tel Aviv alone is the 7th largest startup ecosystem in the world with over $120 billion in startup value.
There are a number of reasons propelling Israeli tech startups forward. To start, the local market for many of these new businesses is small, forcing them to quickly think about the global market. Israel also holds the attention of VC firms and tech giants in the US as they have offices in Israel as well as sometimes go on to acquire companies in the Israeli market. A number of government programs and grants also help Israeli startups. Yozma, a government program, matched outside venture capital investments into Israeli startups, then would ask the VC firm to return its investment if the company had a successful exit.
Learn more about why Israel is one of the best places for a new tech startup here: