Israeli Hi-tech Start-up in 2013
Israel, beset by wars, has managed to turn itself from a kibbutz agrarian society to a world leader in high tech since its inception in 1948. According to Israel Venture Capital Research Center, Israel has some 4000 technology startups, a number greater than any other industrialized nation, with the exception of America.
Israel’s high-tech exports make up almost half of the country’s total, around $20 billion a year and growing (Central Bureau of Statistics). Israel leads the world in terms of research and development, venture capital investment, and the proportion of startup companies and engineers, pro rata to her population
Small Country – High Tech
For a country with 8,000,000 people, smaller than many world metropolises, this is a phenomenal achievement! Not surprising though, as Israel was a startup from its beginning; with immigrants arriving from all walks of life, from all over the world, to fulfill a 3000 year old prophecy.
In areas such as agriculture clean tech, life sciences, and bio-chemical medicine, Israel has in the last 20 years been responsible for groundbreaking technologies. So much so that TEVA, one of the world’s biggest producers of generic drugs, was approved by the European Parliament to export their life-saving medications to the European continent (Arutz Sheva Israel News). Israeli entrepreneurs’ ‘big thinking’ is part and parcel of the Israeli spirit; responsible for the success is the willingness to take risks.
The Government’s Role
The government has played a key role in the rapid rise of this start-up nation, and has been very willing to help in the area of start-up technologies. A good example of this is the Yozma Program which has helped channel money to several new technology firms that have, as a result, become suppliers and designers for most of the high-tech powerhouse corporations in the world. As a result, startups have blossomed and foreign capital has been closely scrutinized.
The IDF has had a major role in augmenting high tech; there are several tech units where citizen soldiers are encouraged to come up with new ideas in cryptography, electronic warfare, and computer security, just to name a few! The military provides young people with the opportunity to become extremely proficient. Many of these soldiers go on to start their own companies after their service is completed.
The Future of Start-up Businesses in Israel
Tel Aviv serves as the hub of the high tech industry with Herzlia and Rothschild Boulevards known for their huge international corporations. There are many startup companies online as well. Israel has an exceptionally bright future with the government offering incentives to companies that branch out into other areas of the country such as the Negev and Northern Galilee.
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