{"id":17523,"date":"2025-01-19T11:07:50","date_gmt":"2025-01-19T11:07:50","guid":{"rendered":"https:\/\/innovationisrael.org.il\/en\/?post_type=press_release&p=17523"},"modified":"2025-01-19T11:27:28","modified_gmt":"2025-01-19T11:27:28","slug":"high-tech-companies-report-november2024","status":"publish","type":"press_release","link":"https:\/\/innovationisrael.org.il\/en\/press_release\/high-tech-companies-report-november2024\/","title":{"rendered":"High-Tech Survey Reveals Israeli High-Tech Sector\u2019s Resilience & Adaptation Amid Wartime Challenges"},"content":{"rendered":"\n

Despite capital shortages, workforce disruptions, and operational strains, 70% of companies anticipate sales growth and nearly half expect employment gains; but 80% say they\u2019ll need to raise more capital within the next six months<\/em><\/em><\/h3>\n\n\n\n
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The Israel Innovation Authority published today the findings of its third annual survey examining the state of high-tech companies in Israel since the outbreak of the war. Conducted in November 2024, the survey aimed to assess the war\u2019s impact on the industry, the challenges faced by high-tech companies, and their coping mechanisms. For the first time, the survey also included high-tech companies that are not startups.<\/p>\n\n\n\n

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The survey reveals a mixed picture of resilience and challenge for Israel\u2019s high-tech sector in the wake of the ongoing war. While 38% of companies expressed optimism about the future, nearly half reported implementing efficiency measures, including cost reductions and layoffs, to adapt to operational disruptions caused by prolonged military reserve duty, flight cancellations, and global investors\u2019 caution. Alarmingly, 80% of companies indicated a need to raise capital within the next six months, with 43% identifying fundraising as their primary challenge. Despite these hurdles, 70% anticipate sales growth, and nearly half foresee employment growth in Israel and abroad, signaling cautious optimism and the industry\u2019s ability to adapt under pressure.<\/p>\n\n\n\n

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Dror Bin, CEO of the Israel Innovation Authority:<\/strong> <\/strong>\u201cThe findings of this survey reflect the immense complexity faced by the Israeli high-tech industry during this period. We see companies struggling not only with capital raising and meeting development and sales targets but also with their very ability to operate in an environment deeply affected by the security situation, massive military reserve call-ups, and flight restrictions that complicate the management of global relationships. Nonetheless, it is precisely in these challenging times that the strength of Israeli high-tech becomes evident: rapid adaptation to a new reality, creative problem-solving, and a willingness to face unprecedented challenges. The entire ecosystem – government, investors, and companies – must come together to ensure the future of this industry, which is not only a critical growth engine but also a symbol of Israel’s innovation and leadership on the international stage. This is no time for compromises. We must seize this crisis as an opportunity to build stronger infrastructure, improve the business environment, and increase investment in growing companies to ensure that Israeli high-tech returns to rapid growth and prosperity.”<\/p>\n\n\n\n

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Key Survey Findings:<\/strong><\/p>\n\n\n\n