Israeli Startup Paralyzed, Receives IDR 311 Billion Fund Injection from AS Tech – 5 hours ago

Jakarta, CNBC Indonesia – Israel’s 40-day attacks on Gaza have killed 14,000 Palestinian civilians. The latest update, Benjamin Netanyahu’s government agreed to a conditional ceasefire.

In the midst of this conflict, Israel’s startup industry was also shaken. The government’s focus on carrying out relentless attacks has disrupted startup operations, especially small scale ones.

However, they received assistance from a venture capital group from the United States (US) amounting to US$ 20 million or the equivalent of Rp. 311 billion, quoted from The Times of Israel, Wednesday (22/11/2023).

The emergency funding assistance called ‘Iron Nation’ was initiated by Chen Linchevski, Gil Friedlander, and Jason Wolf. Linchevski and Friedlander are Managing Partners at Calyx Ventures. Meanwhile, Wolf is a serial entrepreneur. They are also supported by New York, USA-based Silverter Ventures.

This emergency funding is to ensure the operational continuity of Israeli startups that were harmed during the war, since it first broke out on October 7 2023.

As many as 15-20% of employees in the technology sector are included as combat troops. As many as 70% of Israeli technology companies and startups experienced operational disruptions, including delays and project cancellations, according to a survey by the Israel Innovation Authority and Start-Up Nation Policy Institute (SNPI).

Over the past decade, Israel’s technology sector has grown rapidly and contributed 18% of total GDP. This figure is quite high compared to the US technology sector which contributes less than 10% of GDP, and the European Union’s less than 6% of GDP.

Israel’s economy relies on exports of advanced technology products. As much as 50% of Israel’s total exports come from this sector along with taxes.

[Gambas:Video CNBC]

Next Article

5 Famous Startups from Israel, Indonesian Citizens Loyal Users