Israeli cybersecurity industry

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The Israeli cybersecurity industry is a rapidly growing sector within Israel's technology and innovation ecosystem. Israel is internationally recognized as a powerhouse in the cybersecurity domain, with numerous cybersecurity startups, established companies, research institutions, and government initiatives. Tel Aviv itself is being ranked 7th in annual list of best global tech ecosystems, as reported by the Jerusalem Post. [1] [2] [3] [4] [5]

Contents

History

The roots of Israel's cybersecurity industry can be traced back to the country's strong focus on national security and intelligence. The establishment of elite military units such as Unit 8200, the Israeli Intelligence Corps unit responsible for signals intelligence and code decryption, played a significant role in the development of cybersecurity expertise in the country. Many former members of Unit 8200 have gone on to establish successful cybersecurity companies or join existing organizations, bringing their unique skill sets and experience to the private sector. [6] [7]

Market overview

As of 2024, Israel housed more than 450 cybersecurity startups and companies. In 2023, the value of exits by Israeli tech companies reached $7.5 billion. [8]

Israel's cybersecurity industry is characterized by a high concentration of startups develop new technologies in areas such as network security, endpoint protection, data security, cloud security, and threat intelligence. In recent years, the sector has attracted significant investment from both local and international venture capital firms, as well as major technology companies such as Microsoft, Google, and IBM. [9] [10] [11]

Several Israeli cybersecurity companies have gained global recognition and success, with some being acquired by major corporations or conducting successful initial public offerings (IPOs).

Key Israeli cybersecurity companies

Some key Israeli cybersecurity companies include:

Financial activity

Israel’s cybersecurity sector has seen significant financial activity. As of 2023, mergers and acquisitions in the cybersecurity sector totaled $2.8 billion. [8]

In the first quarter of 2024, the sector secured $846 million in private funding. [8]

Background

The military experience helped much. Israel's mandatory military service, combined with the expertise developed within elite units such as Unit 8200, has fostered a strong talent pool with practical experience in cybersecurity.

Israel's thriving startup ecosystem, often referred to as the "Startup Nation," has fostered an environment of innovation and collaboration that has contributed to the growth of the cybersecurity industry. [12] [13] [14]

Israeli cybersecurity companies often collaborate with international partners, both in the private and public sectors, to share knowledge and develop joint solutions. [15] [16]

Government Initiatives and Support

The government also supported well through various initiatives, such as the Israel National Cyber Directorate (INCD), which works to strengthen cybersecurity defenses and promote the development of the sector. [17]

Academic institutions

Israeli universities and research centers are involved in cybersecurity research and education, contributing to the development of new technologies and training the next generation of cybersecurity professionals. [18] [8]

Academic Tech transfer offices in Israel also facilitate the commercialization of cybersecurity technologies. [8]

Some academic institutions with cybersecurity laboratories include: [8]

Related Research Articles

<span class="mw-page-title-main">Science and technology in Israel</span> National research, development and proficience of Israel

Science and technology in Israel is one of the country's most developed sectors. Israel spent 4.3% of its gross domestic product (GDP) on civil research and development in 2015, the highest ratio in the world. In 2019, Israel was ranked the world's fifth most innovative country by the Bloomberg Innovation Index. It ranks thirteenth in the world for scientific output as measured by the number of scientific publications per million citizens. In 2014, Israel's share of scientific articles published worldwide (0.9%) was nine times higher than its share of the global population (0.1%).

<span class="mw-page-title-main">High tech</span> Most advanced technology available

High technology, also known as advanced technology or exotechnology, is technology that is at the cutting edge: the highest form of technology available. It can be defined as either the most complex or the newest technology on the market. The opposite of high tech is low technology, referring to simple, often traditional or mechanical technology; for example, a slide rule is a low-tech calculating device. When high tech becomes old, it becomes low tech, for example vacuum tube electronics. Further, high tech is related to the concept of mid-tech, that is a balance between the two opposite extreme qualities of low-tech and high tech. Mid-tech could be understood as an inclusive middle that combines the efficiency and versatility of digital/automated technology with low-tech's potential for autonomy and resilience.

<span class="mw-page-title-main">UST (company)</span> American technology company

UST, formerly known as UST Global, is a provider of digital technology and transformation, information technology and services, headquartered in Aliso Viejo, California, United States. Stephen Ross founded UST in 1998 in Laguna Hills. The company has offices in the Americas, EMEA, APAC, and India.

<span class="mw-page-title-main">Unit 8200</span> Intelligence unit of the Israel Defense Forces

Unit 8200 is an Israeli Intelligence Corps unit of the Israel Defense Forces responsible for clandestine operation, collecting signal intelligence (SIGINT) and code decryption, counterintelligence, cyberwarfare, military intelligence, and surveillance. Military publications include references to Unit 8200 as the Central Collection Unit of the Intelligence Corps, and it is sometimes referred to as Israeli SIGINT National Unit (ISNU). It is subordinate to Aman, the military intelligence directorate.

<span class="mw-page-title-main">Gil Shwed</span>

Gil Shwed is an Israeli software engineer and entrepreneur. He is the co-founder and CEO of Check Point Software Technologies Ltd, one of Israel's largest technology companies and the world's largest pure-play cybersecurity company.

<span class="mw-page-title-main">Silicon Wadi</span> Hub of advanced technology in Israel

Silicon Wadi is a region in Israel that serves as one of the global centres for advanced technology. It spans the Israeli coastal plain, and is cited as among the reasons why the country has become known as the world's "start-up nation". The highest concentrations of high-tech industry in the region can be found around Tel Aviv, including small clusters around the cities of Raʽanana, Petah Tikva, Herzliya, Netanya, Rehovot, and Ness Ziona. Additional clusters of high-tech industry can be found in Haifa and Caesarea. More recent high-tech establishments have been raised in cities such as Jerusalem and Beersheba, in towns such as Yokneam Illit, and in Airport City. Israel has the third highest number of startups by region and the highest rate of startups per capita in the world.

Venture capital in Israel refers to the financial capital provided to early-stage, high-potential, high risk, growth startup companies based in Israel. The country's venture capital industry was born in the mid-1980s and has rapidly developed. Israel currently has more than 276 active venture capital funds, of which 71 are international VCs with Israeli offices. Israel's venture capital and incubator industry plays an important role in the booming high-tech sector that has been given the nickname "Silicon Wadi", considered second in importance only to its Californian counterpart, the Silicon Valley.

<span class="mw-page-title-main">Shlomo Touboul</span> Israeli business executive and inventor

Shlomo Touboul is an Israeli business executive and inventor who has founded several companies including Finjan and Shany Computers. He is currently the President and CEO of Illusive Networks, a startup from the Israel-based incubator, Team8.

<span class="mw-page-title-main">Illusive Networks</span>

Illusive Networks is a cybersecurity firm headquartered in Tel Aviv, Israel and New York. The company produces technology that stops cyber attackers from moving laterally inside networks by finding and eliminating errant credentials and connections, planting deceptive information about given network's resources, emulating devices, and deploying high interactivity decoys. Network administrators are alerted when cyber attackers use security deceptions in an attempt to exploit the network. Illusive Networks is the first company launched by the Tel Aviv-based incubator, Team8. In June 2015, Illusive Networks received $5 million in Series A funding from Team8. To date, it has raised over $54M.

<span class="mw-page-title-main">Keren Elazari</span> Cybersecurity expert

Keren Elazari, also known as k3r3n3, is an Israeli cybersecurity analyst, writer, and speaker. She is a senior researcher at the Tel Aviv University Interdisciplinary Cyber Research Center.

<span class="mw-page-title-main">Gili Raanan</span> Israeli inventor

Gili Raanan is an Israeli venture capitalist and former founder of multiple software companies. Raanan started Sanctum in 1997, the company that created the Web application firewall AppShield and the web application penetration testing software AppScan. He later started NLayers which was acquired by EMC Corporation. He was a general partner at Sequoia Capital, the founder of Cyberstarts, and board member at Wiz, Adallom, Onavo, and Moovit, Snaptu.

Shlomo Kramer, is an Israeli information technology entrepreneur and investor. He is the co-founder of cyber-security companies Check Point and Imperva, as well as Cato Networks, a cloud-based network security provider.

ThetaRay is a fintech software and big data analytics company with headquarters in Hod HaSharon, Israel and New York, and offices in Madrid, London, and Singapore.

<span class="mw-page-title-main">Argus Cyber Security</span> Israeli automotive cyber security company

PlaxidityX is an Israeli automotive cyber security company. It was purchased by Continental AG in 2017, for $430 million. In October 2017, Argus added a solution to enable OEMs to deliver over-the-air vehicle software updates.

<span class="mw-page-title-main">Avner Halperin</span> Israeli entrepreneur

Avner Halperin is an Israeli entrepreneur and CEO of Sheba Impact - the entrepreneurship and innovation company of Sheba Medical Center. He is also EyeControl's Chairman of the Board of Directors, a Research Fellow at Harvard Kennedy School, and an adjunct professor at Tel Aviv University.

<span class="mw-page-title-main">Eviatar Matania</span>

Eviatar Matania was the founder and Head of the Israel National Cyber Bureau and starting February 2015 also the founder and first Director General of the Israel National Cyber Directorate, that consists of both the National Cyber Bureau and the National Cyber Security Authority, a tenure he concluded in January 2018. Currently, Matania is a professor at the School of Political Science, Government and International Affairs at Tel Aviv University, where he also serves as the head of the MA Security Studies Program, and holds an adjunct professorship at Oxford University’s School of Government. Matania also holds consultancy roles in the fields of cyber, technological policies and strategies, and national security, and is the joint-head of the Smart Systems Initiative.

Varda Shalev is an Israeli medical researcher,a professor of medicine at the Tel Aviv University School of Public Health, and a primary care physician. She is also the co-founder and Chief Medical Officer of Alike. In 11.2022 she became a managing partner at Team8 foundry. Shalev sits on the Board of Directors of Teva Pharmaceutical since 2023.

Snyk Limited is a developer-oriented cybersecurity company, specializing in securing custom developed code, open-source dependencies and cloud infrastructure. It was founded in 2015 out of London and Tel Aviv and is headquartered in Boston.

Talon Cyber Security is an Israel-based provider of cybersecurity technologies with headquarters in Tel Aviv. It develops a secure browser engineered to provide enterprise-grade security across all devices, irrespective of location, device type, or operating system.

<span class="mw-page-title-main">Yael Grossman</span>

Yael Grossman is the commander and Brigadier General of the Israeli Defense Force's (IDF) technology and intelligence unit Lotem.

References

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  6. "'In 2 to 3 years, the UAE will be among Israel's 10 most important trading partners'". www.israelhayom.com. Retrieved 2023-04-12.
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