Israel Tech Startup Fundraising Hits $2.9 bln in Second Quarter

In the second quarter of 2024, Israeli technology startups secured a substantial amount of funding, reaching $2.9 billion, according to IVC Data and Insights and LeumiTech. This represents the highest level of capital raised in the past two years, demonstrating the resilience and continued attractiveness of the Israeli tech sector, even amidst geopolitical challenges such as the conflict with the Palestinian Islamist group Hamas.

The preliminary figures Indicate that the total funding amount includes a $965 million funding round secured by Wiz, a cybersecurity firm. Excluding this specific round, startups collectively raised $1.94 billion, representing a notable 19% increase compared to the $1.63 billion raised in the first quarter.

Some 62% of the $2.9 billion total came from six deals of more than $100 million, including Wiz, while the number of first-timers and new foreign investors in Israeli tech increased in the second quarter, the report said.

Fundraising by Israeli tech firms slowed beginning in the second half of 2022 due to a global slowdown and it was also hit by government plans, now abandoned, to overhaul the country's judiciary. Funding has remained steady since Israel's war that began on Oct. 7 last year.

Full data is expected by mid-July.

June 30, 2024