Israel has a highly developed startup and venture capital ecosystem, with Tel Aviv ranked as the second best startup ecosystem globally. In 2014, Israeli startups raised $3.4 billion in funding, had 688 venture capital deals closed, and 18 companies went public. Israel also excels in exiting startups, with $9.8 billion raised from companies that went public and $15 billion generated from mergers and acquisitions. Factors contributing to Israel's success include heavy investment in research and development, a culture of entrepreneurship, compulsory military service that provides leadership skills, and strong support from technology incubators and university technology transfer offices.

1. Israel’s Startup and VC
Ecosystem
SOURCE
–
kyweb.fi

2. SOURCE
–
Wikipedia,
Retrieved
12
Feb
2015
About Israel
• 470 km long, 135km
wide at its widest point
• Population ( at 2014) =
$8.3M
• 74.9% Jewish, 20.7%
Arab, 4.3% Others

3. About Israel
• Standard of Living:
• 1st in the Middle East
• 5th in Asia
• 13th Highest Life Expectancy in the World
• 43rd Largest Economy in the World
• Israel invests 4.7% of its GDP in R&D à Highest in the World
• Highly educated workforce: Israel is ranked 2nd in the world for
availability of qualified scientists and engineers
• Mandatory Army for girls (aged 18-20) and boys (aged 18-21).
SOURCE
–
Wikipedia,
Retrieved
12
Feb
2015

4. 2nd
Best Startup
Ecosystem in
the world
$9.8bRaised by Companies
that went Public
$15b
In Exits through
M&As
VC Deals
closed
688
Israeli Startup Ecosystem in 2014
18Israeli Companies
went Public
SOURCE
–
Forbes,
Bloomberg
InnovaFon
Index
Raised in
VC Funding
$3.4b
39Companies raised
more than $20M
5thMost Innovative
Country

5. “If
you’re
going
to
the
Middle
East
to
look
for
oil,
you
can
skip
Israel.
If
you’re
looking
for
brains,
look
no
further”
—
WARREN
BUFFETT
SOURCE
–
TwiTer,
OurCrowd
Slideshare
PresentaFon
What Investors Are Saying

6. SCALE-UP NATION EXIT NATION
TO
FROM
Israel’s Ecosystem is Evolving

7. Fundraising by Israeli High-Tech Startups – 2004 to 2013
SOURCE
–
IVC
Research
Center
“Scale-Up” Nation“Scale-Up” Nation

8. Fundraising by Israeli High-Tech Startups - 1st Week of Jan 2015
SOURCE
–
GEEKTIME.com
“Scale-Up” Nation

9. # of Exits and Exit Amounts in $B from 2005 to 2014
SOURCE
–
IVC
Research
Center
“Exit” Nation

10. 3rd Largest source of listings on NASDAQ after North America & China in 2013
SOURCE
–
Financial
Times
“Exit” Nation

11. All Israeli Technology Exits – 2004 to 2013
SOURCE
–
DeloiTe
Insights
“Exit” Nation

12. Startup Success Rate
SOURCE
–
IVC
Research
Center
Success defined by Investors as a real positive rate of return on investments

13. • NDS,
bought
by
Cisco
for
$5B
• Chroma*s
Networks,
acquired
by
Alcatel
Lucent
for
$4.5B
• Waze,
acquired
by
Google
for
$1B
• Mobileye
raised
$890M
at
IPO
• Trusteer,
acquired
by
IBM
for
$800M
• Retalix,
acquired
by
NCR
for
$800M
• Wix,
IPO
on
NASDAQ
and
currently
floaFng
around
$700M
• Objet,
merged
with
Stratasys
for
$640M
• MediaMind,
acquired
by
DG
for
$520M
• Zoran,
acquired
by
CSR
for
$485M
• XtremIO,
acquired
by
EMC
for
$450M
• Omrix,
acquired
by
J&J
for
$440M
Most Successful Exits

14. • Israeli Hi-Tech Ecosystem & Incubator Network
• High Rate of Commercialization of Research
• HotBed for R&D Innovation
• Proactive University Technology Transfer Offices
• The People
• Compulsory Army for Men & Women à Hands-on Leadership,
Managerial and Technical Skills
• “Chutzpah” à Go-getting, Entrepreneurial, Challenge Status Quo
• Flat business structure à Informal but Professional style
What Makes Israel “Different”?

15. Why
Israel?

16. Technology Incubators
Sector Breakdown of Technology Incubators in Israel in 2013
SOURCE
–
DeloiTe
Insights

17. R&D Centres in Israel
SOURCE
–
FinPro
Slideshare
PresentaFon

18. PixVC’s Portfolio in Israel

19. Partner • Invest • X-it
www.PixVC.com
contact@pixvc.com