Most Investors Still Confident In Israeli Tech Sector – Report

A large majority of all investors in the Israeli tech sector plan to keep the same pace of investment in 2024, despite the ongoing conflict with Hamas in Gaza, according to a new report by industry research platform Startup Snapshot. 

The report, titled “Startup Nation in Times of Conflict: The Investor Perspective,” draws on information gathered from more than 100 investors in Israel and abroad, all of whom have invested in Israeli tech in the past.

It found that 86 percent of previous investors had no plans to reduce their level of financial involvement in the Israeli tech sector, while just 14 percent of respondents said that they were planning to dial down their investments.  

“The report gives an unfiltered view into the private investment considerations around Israeli tech. While the war presented significant challenges to startups and heightened investment concern, we don’t see an overwhelming sense of panic among the investor community, with the majority reporting that they do not plan to stop or slow down investments in Israeli tech in 2024,” said Yael Benjamin, founder and CEO of Startup Snapshot. 

“The current conflict showed the VC community the immense resilience of Israeli talent and the ability to deliver under extreme pressure, which in the long-run has the potential to strengthen our position globally,” she said.

Startup Snapshot compiled the report in partnership with Deloitte Catalyst, the Zell Entrepreneurship Program at Reichman University (also home to NoCamels), the Finsec Innovation Lab and Consiglieri tech advisory firm. 

“In today’s reality, the Startup Snapshot report provides essential insights to investors regarding the startup ecosystem in Israel – both for the current period and for the future. The report shows that despite the challenges, the startup ecosystem in Israel remains resilient and strong,” said Sidney Gottesman, CEO of the FinSec Innovation Lab.

Investors continue to look for advanced technologies in Israel, especially in the field of cyber, and the acceleration programs continue to play an important role in accelerating startup success, especially in today’s challenging fundraising environment.”