The small Middle Eastern state of Israel has evolved itself in the last couple of years important international hub for startups specially in the high-tech sector. Israel has one of the highest number of startups per capita worldwide. This development was encouraged by three main factors:
The government of Israel invests a substantial amount of its innovation grants specifically on startups and technological developments.
Tel Aviv belongs to the world’s leading high-tech startups locations, gaining it the nickname Silicon Wadi (Silicon Valley in Arabic). Companies are specifically targeting high-tech graduates to work in the region making it the are with the highest number of high-tech workers in Israel.
Israel belongs to the leading countries of R&D expenditure as share of their GDP. Which is an important factor for the development of its high-tech startup sector.
Fintech is an important subsector if Israel’s technological startup scene. The number of active fintech companies in Israel has more than doubled between 2012 and 2017. >br>
A noteworthy startup sector of Israel is the Artificial intelligence technology. Israel startups belong to the leading developers of AI. Salesforce acquired between 2006 to 2018 two AI startups from Israel values about 830 million U.S. dollars.
The only country in the region coming close to Israel in its innovative spirit and housing startups is the United Arab Emirates.