Tel Aviv Is Fifth In World For Billion Dollar Companies

By Ariel Grossman, NoCamels March 29, 2023 2 minutes

Tel Aviv skyline. Courtesy Dan Gold / Unsplash

Tel Aviv ranks fifth in the world for billion dollar companies – known as unicorns – according to a new report.

The San Francisco Bay Area is first, followed by New York City, Beijing, and Boston.

Tel Aviv is now home to 95 unicorns, 75 of which crossed the $1 billion threshold since 2018.

Staff from these unicorns – including the ride hailing company Gett, and ironSource, which helps app developers turn their products into successful businesses – have gone on to found more startups in Tel Aviv and abroad.

The city’s almost 3,000 startups are worth a combined $393 billion, representing a growth of three and a half times since 2018, when they were worth $113 billion. It is also the second highest value ecosystem in Europe, the Middle East, and Africa (EMEA).

Tel Aviv ranks third in the EMEA for total venture capital investment raised in 2022, at $6.9 billion, after London ($20.5 billion) and Paris ($11.1 billion).

Security was the most funded industry in Tel Aviv in 2022, at $1.7 billion, followed by health ($940 million), and fintech ($491 million).

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The report was published by Dealroom.com, an Amsterdam-based data provider on startups and early-stage and growth company ecosystems, and Tel Aviv Tech, the strategic economic development initiative dedicated to advancing the city’s tech ecosystem through international partnerships.

“These are the achievements of democracy, freedom and human rights, which lead to the amazing creativity and achievements of the local high-tech industry the past year,” said Ron Huldai, Mayor of Tel Aviv-Yafo.

“Moreover, we must not forget that currently democracy in Israel is in crisis and that the high-tech industry flourishes best alongside freedom, liberality and equal rights.

“A threat to these values is a disaster for the Israeli economy in general and the high-tech industry. In the shadow of the fall of the shekel, Tel Aviv technology companies are transferring workers to other countries, and the cessation of investments in Israel has begun.

“The legislation must be stopped immediately so that the high-tech industry and the Tel Aviv and national economy are not further damaged. We in Tel Aviv-Yafo will continue to be committed to democratic and strengthening the local high-tech industry.”