Israeli high-tech continues to strengthen its position as a significant sector in its contribution to the national economy. Nevertheless, the sector continues to be characterized by gender inequality, with women comprising only about one-third of its workforce, a ratio that has remained essentially unchanged for three decades. In this publication, the Israel Innovation Authority presents the fourth in-depth analysis of the gender situation in the high-tech sector.
The report is divided into three sections, corresponding to the three primary career stages: The first section highlights women’s representation in high-tech training and employment; the second section provides an analysis of women’s representation in managerial positions in high-tech companies; and the third section examines the level of women’s entrepreneurship and leadership in startups.
The analyses in the report follow similar methodologies to those in the ‘Women in High-Tech, 2022 Status Report‘. A comparison with the current report’s findings reveals that there has been no fundamental change in the overall picture, with most of the metrics showing almost no change (as presented in the infographic on page 5). It is, however, recommended to pay attention to several noteworthy trends and processes that may have long-term impact on gender representation in high-tech.
One notable trend is the significant increase in the number of female students taking the highest-level (5-unit) matriculation exams in computer science, which increased by over 75% between 2016 and 2023. Despite this, their ratio of the total number of overall students taking this exam has remained relatively constant, standing at around 36% in 2023. In other words, although more female students are studying computer science in high school, their ratio of total students is growing slowly as the field expands. Nevertheless, the current growth rate is insufficient to close the existing gender gap.
Furthermore, it is important to note significant geographic and socioeconomic disparities in the ratio of female students taking the 5-unit computer science matriculation exam. In Tel Aviv and the Central region of Israel, this ratio is three times higher than in Jerusalem, twice as high as in the southern region, and approximately 50% higher than in northern Israel and Haifa. In addition, the growth rate of the ratio of female students taking this exam is higher in Tel Aviv and central Israel compared to other regions, indicating that these inequalities are only expected to grow.
A significant increase has also been recorded in the number of female students studying high-tech subjects in academia. Their numbers have doubled over the past decade, reaching nearly 17,000 in the 2022-2023 academic year – a growth rate three times higher than that of male students. As a result, women’s ratio of students in high-tech fields has risen during this period from approximately 24% to 32%, aligning with their representation among high school students taking the 5-unit matriculation exam in computer science.
A crucial stage in high-tech career preparation occurs in the Israel Defense Forces (IDF), particularly in its technology units. Nevertheless, despite repeated requests when preparing this publication, the IDF failed to provide updated data regarding the percentage of women serving in technological roles within relevant units. In the 2022 report, the ratio of women serving in development and cybersecurity roles during their mandatory military service was found to be lower than their representation in the high-tech industry or in academic studies leading to the field.
The positive trend is also evident in high-tech employment. The number of women in R&D roles (that are at the technological core of high-tech companies), has increased by 140% over the past decade. Women’s ratio of the total R&D workforce has risen from 23% to 26.5% during this period. Despite this positive trend, it is important to note that at this growth rate, it would take more than five decades to close the gender gap in R&D employment. While women’s representation has also increased in other roles in high-tech, the overall ratio of women in the sector has remained around one-third due to the overall growth in the number of R&D jobs. The report reveals a degree of variance in women’s representation across different types of jobs in high-tech companies. Women comprise 38% of the workforce in enterprise software and life sciences companies – the highest proportion – while their representation is lowest in communications and semiconductor firms, standing at only 21%.
One of the most significant gaps is in the promotion of women to managerial positions in high-tech companies. The data shows that only about 17% of senior executives (VP or C-level) in Israeli private high-tech companies are women – approximately half of their overall employment ratio. In other words, fewer women advance into managerial roles relative to their representation in the sector. Even in fields with higher and more equal female representation, their numbers drop significantly at the senior executive level. However, the data also reveals that in companies led by a female CEO, the ratio of women in senior management is double that of those led by male CEOs and aligns with their overall representation in those firms.
A similar situation is observed in publicly traded Israeli high-tech companies, where most women in executive roles are in the positions of human resources, legal counsel, sales, and marketing.
The report’s findings indicate that there has been no improvement in women’s participation in entrepreneurial activities and startup leadership in recent years. Among startups founded in the past decade, only about 10% have female CEOs, and these startups have raised just 4% of the total capital secured by startups in recent years. The primary disparity in fundraising is evident in investment rounds exceeding $50 million. The Israel Innovation Authority promotes female entrepreneurship by offering increased grants to companies led by women. Further details on these initiatives can be found here.
Ultimately, there has been a gradual increase in women’s representation at the stages known to have the most decisive impact on gender equality in high-tech at the funnel’s entrance – high-school and university studies, especially the latter. To sustain this positive trend, the government must continue supporting initiatives led by the Ministry of Education in collaboration with the Council for Higher Education and the Planning and Budgeting Committee.
There remains significant room for improvement in female representation within high-tech companies, particularly in leadership positions, including on the part of employers. The report’s conclusions highlight the need to find ways of supporting the advancement of women into leadership roles in high-tech companies’ core operations. It is important to note that at the growth rate of women’s employment in the high-tech sector recorded over the past three years, the State of Israel is unlikely to meet the gender equality goals it determined based on the recommendations of the Perlmutter Committee, in 2022.
Details regarding the periods covered by the data are provided in the main publication.
Source: Israel Innovation Authority adaptations of CBS, IVC, Dealigence, PitchBook, and company and VC fund websites.
