Israel Launches $24M Program to Strengthen Cyber Industry

The Israel Innovation Authority along with the Israeli Ministry of Economy and Industry and the National Cyber Directorate have launched a dedicated program to boost Israel’s cyber industry, estimated to cost NIS 90 million over the next three years

Israel Launches $24M Program to Strengthen Cyber Industry

Israeli Minister of Economy and Industry, Eli Cohen (left) with Aharon Aharon, CEO of the Israel Innovation Authority (PR photo)

The Israel Innovation Authority, the Israeli Ministry of Economy and Industry, and the National Cyber Directorate on Tuesday announced they had launched a program to advance Israel’s cybersecurity industry at a scope of NIS 90 million (about $24.4 million) over the next three years.

According to the joint statement, the program consists of three parts, which include investment in technologies with “gamechanger” potential on a global level; funding support for companies moving from the development stage to the testing and demonstration stage; and the allocation of resources to CyberSpark, the Israel cyber innovation center in Be’er-Sheva. The center is a joint venture of the Israeli National Cyber Bureau in the Prime Minister’s Office and Beersheba Municipality, Ben Gurion University of the Negev and leading companies in the cybersecurity industry to leverage the region and expand the cybersecurity industry in Israel.

The Israel National Cyber Directorate (INCD) and the Israel Innovation Authority will jointly promote the creation of innovation arenas in sectors undergoing significant digital transformations that expose them to cyber threats (e.g., health, transportation, finance, etc.). The innovation arenas will convene international industrial players, regulators, academics, and Israel’s cyber industry to create solutions for tomorrow’s cyber challenges and preserve Israel’s global cyber leadership, the statement says.

Israeli Minister of Economy and Industry, Eli Cohen, said in a statement that the program “will ensure that Israel continues to meet the cyber sector’s biggest challenges, secure our place at the forefront of innovation, and bolster Israel’s global leadership in this critical industry.”

Director General of the Israel National Cyber Directorate, Yigal Unna praised the government's commitment to “preserving and strengthening Israel’s global cyber leadership, one of the most significant engines of the hi-tech industry’s growth.”

“A significant part of the investment will be directed toward upgrading CyberSpark, the Israel Cyber Innovation Arena in Beersheba, to further strengthen its position as a global cyber hub. Together with the Israel Innovation Authority, we will enable Israel’s cyber industry to continue leading the way in global technological innovation,” Unna added.

“The local cyber ecosystem is very developed and wins acclaim around the world. Despite significant investment from VCs who have expressed faith in the local cyber market, many companies face challenges in finding suitable sites to test their technologies. This new program solves this issue and will significantly accelerate companies’ growth and penetration into the global market,” said Aharon Aharon, CEO of the Israel Innovation Authority.

As part of the program, cybersecurity companies will be able to receive funding in support of long-term R&D as well as in pilot programs. The R&D program is intended for Israeli cyber tech that deals with high-risk R&D. It aims to support the development of technologies with significant potential to influence the international market, with the purpose of establishing additional foundations for Israeli cyber defense companies in the future. Companies can receive up to 66 percent of their R&D expenditure for a given project and up to NIS 5 million (almost $1.4 million).

The support for pilot programs is intended to enable trial runs of innovative cyber tech, examine their scalability and viability among clients, and enable the companies to prepare their market strategies as well as facilitate entering the market by implementing their technologies in tech sites. Companies are eligible to receive up to 30 percent funding for a program with an approved budget of up to NIS 1 million ($271,314) for a single pilot in Israel; up to 50 percent funding for a program with a budget of up to NIS 1.5 million ($406,884) for a single pilot outside Israel; and up to 50 percent funding for a program an approved budget of up to NIS 2.5 million ($678,140) for two pilots outside of Israel.

The pilot program funding is intended for Israeli cybersecurity tech companies that have developed a product or service that has not been launched in Israel yet and is still undergoing development.

The new programs are designed to encourage the creation and growth of sustainable cybersecurity companies in Israel through the promotion, development, and commercialization of their innovative tech solutions.

They are an addition to the new financing and support programs offered by the Israel Innovation Authority in cooperation with government ministries and other agencies, which already include support for pilot programs in environmental protection, health, and transportation.

“The Israel Innovation Authority has done a great deal to promote the impressive cyber ecosystem that has grown in Israel over the past few years,” said Dr. Ami Applebaum, chief scientist of the Ministry of Economy and Industry, and chairman of the Israel Innovation Authority. “The Authority stresses the importance of groundbreaking cyber defense technologies to preserve Israel’s unparalleled prowess in the field. Additionally, in proving the viability of new technologies, cyber companies often need access to information and systems that are not always readily accessible to developers. This program will make it easier for companies to gain access to test sites which are not currently available to them.”

 

[Sources: NoCamels, i24News]

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