The Israeli cybersecurity industry has achieved significant milestones over the past year, attracting record investments driven by increased demand for cloud technologies and artificial intelligence.
Growth of the Israeli Cybersecurity Industry
According to YL Ventures, Israeli cybersecurity companies attracted $4 billion last year, doubling the previous year's results. This growth was driven by increased demand for cloud services and AI technologies, positioning Israel as a global leader in cybersecurity.
Startup Investments: Key Figures
In 2024, Israel conducted 89 funding rounds, including 50 early-stage rounds that raised $400 million. A dramatic increase was noted in growth stage rounds (Series C and beyond), totaling $2.9 billion.
Looking Ahead: Opportunities and Challenges
According to YL Ventures representatives, global investors are ready to invest in earlier rounds, which helps maintain the strength of seed rounds and increases growth stage investments. However, Israeli startups face challenges related to geopolitical situations and the aftermath of the October 2023 Hamas attack.
The Israeli cybersecurity industry continues to expand despite external challenges and shows its readiness to take a leadership role in the global market.
