The invitation-only event provided insights and data on why Israel continues to lead the world as a powerhouse of innovation.
At the beginning of April, Michigan Israel Business Accelerator (MIBA) launched its inaugural Investing in Israeli Tech Executive Briefing for Michigan investors.
The invitation-only event provided insights and data on why Israel continues to lead the world as a powerhouse of innovation. Data was demonstrated in clear terms by global investors, and multinational corporations continue to double down on Israeli tech for a simple reason: strong returns and good business.
Speakers at the briefing included Aviva Steinberger, chief of staff of StartupNation Central, who was joined by two seasoned investors in Israeli tech — Iron Nation Fund’s Chen Linchevski and Ibex Investors’ Justin Borus, both of whom were cited among the top eight most active VCs in Israeli tech in 2024.
“Israeli companies have a choice where to launch or expand in North America and providing access to customers and capital are key factors in making Michigan competitive,” said MIBA’s Managing Director and Michigan Ecosystem Leader Bernard Bourgeois. He added that MIBA has connected more than 4,500 Israeli and Michigan companies, leading to 95 collaborations that have generated $20 million in economic activity for Michigan.
Steinberger provided compelling data on the steady commitment of U.S. Investments in Israel over the years 2018-2024:
• 1,600 U.S. investors in Israeli companies
• 2,684 Rounds with investors from the U.S.
• $75.4 Billion funding amount with investors from the U.S.
According to Jefferies Economic Report on Israel: Robust Capital Raising and M&A Activity, Israel placed behind only Silicon Valley and New York in terms of capital raised. Investments in Israeli tech have remained resilient, with capital raised since Oct. 7, 2023, matching the amount secured in the entire year prior. This indicated that investor confidence in Israel has not waned despite the war.
High-tech is critical to the Israeli economy, Steinberger said. With more than 7,000 startups and tech companies, the high-tech sector contributes 12% of Israel’s workforce, 20% of its GDP and 53% of total annual exports.
She added that Israel continues to attract global attention and capital, citing Google’s recent acquisition of Wiz, an Israeli cloud security company, for $32 billion, marking the largest acquisition in both Google’s and Israel’s history.
“It is an ideal time to invest in Israel as entry valuations are more attractive and potential remains high,” she said.
Justin Borus of Ibex Investors said that although fewer startups are being founded in Israel, “the quality is much higher, which I think is a healthy event.”
He reminded the audience that “crisis yields opportunity. I would say the main takeaway is there’s tremendous opportunity in Israel. Fortunes are going to be made over the next decade or two.”
Chen Linchevski of Iron Nation Fund told the audience about its first round of funding, which invested in 24 Israeli startups post- Oct. 7. “A year later, they are performing to their promises,” he said.
Iron Nation is now in its second, much larger fund to invest in Israeli startups. “The one thing we understood is that we need to work together: VCs and experts and investors from the U.S. All of us together are selecting the right companies,” he said. “This is part of the reason why we’re today so optimistic about the Israeli economy.”
MIBA CEO Mark Davidoff added, “American and Israeli entrepreneurs and investors are looking for solid, strong, sincere partnerships. And that’s what will really deliver the results.”
Israeli Defense Tech Companies Eye Michigan
The Michigan-Israel Business Accelerator (MIBA) hosted a group of 13 entities from Israel, including 11 defense technology startups, to provide them with a first-hand look at the state’s defense sector. According to the Michigan Economic Development Corporation, Michigan’s $30 billion defense industry employs more than 166,000 workers at nearly 4,000 businesses statewide.
The delegation was hosted April 7-10 in partnership with the Michigan Economic Development Corporation’s Office of Defense and Aerospace Innovation and SIBAT, the International Defense Cooperation Directorate of the Israel Ministry of Defense.
The visit included time at the first Michigan Israel Pavilion at MDEX, the annual Michigan Defense Expo event hosted by the Michigan Chapter of the National Defense Industrial Association. Members of the MIBA’s Israeli defense tech delegation were able to interact, in one place, with the leading companies from across Michigan serving the defense sector.
While in Michigan, Israel-based Maris-Tech (Nasdaq: MTEK), a video and AI-based edge computing technology company, announced it has successfully completed a pilot assembly of one of its core products at a manufacturing facility in Otsego and will continue to expand manufacturing at that site. The product passed the company’s quality assurance tests, marking a significant step toward penetrating the U.S. defense market.
This achievement follows several strategic initiatives including establishing a North American subsidiary, appointing U.S.-based marketing managers, and participating in major American defense industry exhibitions. The company’s product portfolio includes AI-powered video processing systems for drones, tactical alert systems for armored vehicles, and edge devices for special forces, designed to enhance situational awareness and support real-time decision-making.
“The MIBA introduced us to Michigan in 2024, and we quickly became interested in establishing a presence there,” said Israel Bar, Maris-Tech founder and CEO. “Michigan will be a manufacturing hub that will positively impact our global growth.”
During MDEX, the MIBA also hosted the delegation and Michigan-based MIBA members for a reception and fireside chat featuring Michigan U.S. Army National Guard Major General Paul Rogers and Amira Ilany, director of North America & Europe Division in SIBAT.
