VC fund Earth & Beyond Ventures and financial services giant Deloitte have revealed a substantial growth in investments in Israel’s space sector.
Their in-depth mapping of 105 Israeli startups showed that at least $314 million was invested in various space-tech companies in 2023.
The mapping was intended to connect space tech and conventional industry startups, and discover whether space tech has practical applications in Earth-based industries and vice versa.
The methodology included categorizing the startups into key sectors:
The mapping report said the findings highlight the adaptability, versatility, and innovative capabilities of Israeli startups, which are well-versed in creating a diverse range of foundational technology components that have applications in space tech and conventional industry.
Head of R&D and Innovation Center at Deloitte Israel Idan Adler said the findings point to major untapped potential of Israeli startups.
In our opinion, space has the potential to become a new business dimension for existing ventures from different sectors, and it may give Israeli companies a significant competitive advantage.
VP Ecosystem Development of Earth & Beyond Ventures Noga Yaari added: Much like how the Israeli market does not have a car manufacturer, yet still excels as a leading global innovation hub for automotive components, we envision Israeli startups forming strategic partnerships with space companies or the space divisions of tech giants.
The report noted that the global space industry is undergoing a significant transformation, transitioning from “traditional space” to “New Space.”
“This evolution is driven by various trends that are lowering the entry barriers and making the space industry more accessible for a broad range of players, from tech giants to new startups. This is opening new business opportunities for startups and tech companies. Israel, with its strong and innovative startup ecosystem, is well-positioned to capitalize on these changes and make significant contributions to the New Space era.
