Yesterday, a delegation of 65 American investors, technology executives, and venture capitalists arrived in Israel to lend support to the Israeli tech industry amid an ongoing conflict waged by the occupation on the Gaza Strip.
The delegation, led by the CEO of the social networking service "Meetup.com," David Siegel, along with managing partners from the investment arms of "Bain & Company" and "Apollo Investments", was reported by "Yedioth Ahronoth". The initiative arrives while the sector is still reeling from a significant blow caused by "Operation Aqsa Flood", launched by Palestinian resistance on October 7th, which struck hard against one of the occupation's most vital economic sectors.
Over the next three days, the members of the delegation are scheduled to meet with President Isaac Herzog, Minister Benny Gantz, and Minister of Economy Nir Barkat to discuss matters further. They also have plans to visit the Gaza border communities, meet with Israeli soldiers, families of Israelis held by the Palestinian resistance movement Hamas, and local business figures. According to the newspaper, this visit signifies their support for Israeli entrepreneurs and companies.
Siegel expressed his sentiments, stating, "After October 7th, we feel that investment and technology companies should stand by Israel. It's more than just donating—we need to be present to say that we've always been here and will continue to support the vibrant tech sector ecosystem in Israel."
He added, "The tech community understands the increasing need for support now, especially when so many Israeli innovators and their workforce are on the front lines as reserve soldiers (in the war on Gaza)."
Investor Ron Meisnik from Bain Capital highlighted that the delegation is there to assist with the economic turmoil resulting from the conflict, focusing on supporting and aiding in the global reconstruction of the Israeli tech industry.
A report by "Yedioth Ahronoth" last week conveyed experts' concerns that "Israel's tech sector is beginning to fall behind." The once vibrant and dynamic Israeli high-tech sector now resembles a shelter in hibernation, lacking the prospects of returning to normalcy.
A recent report by PricewaterhouseCoopers Israel revealed a more than 50% drop in sales and public offerings of Israeli companies compared to the previous year, marking the lowest level in a decade.
In terms of statistics, the Israeli high-tech sector accounted for 18% of Israel's GDP in 2022, becoming the largest contributor to the GDP as per the data from the Israel Innovation Authority. The sector's output doubled to 290 billion shekels ($78.6 billion) that year, up from 126 billion shekels ($34.15 billion) in 2012.
Exports from the high-tech sector represented 48.3% of Israel's total exports in 2022, amounting to $71 billion, a 107% growth from 2012. The sector had 401.9 thousand employees, based on data from 2022.
