Israeli hi-tech corporations accounted for 58% of Israel’s overall exports in 2025, in line with the once a year document at the state of hi-tech revealed on Sunday by way of the Israel Innovation Authority.
The fad is pushed principally by way of the sphere’s dominance of Device-as-a-Carrier (SaaS) tasks, which export those services and products out of the country and are extremely depending on foreign-currency source of revenue.
And the document additionally displays the severity of Israel’s foreign money scenario, with the shekel’s rising power being one of the vital causes the sphere would possibly face a more difficult 12 months, with some corporations expecting conceivable cuts.
The document additionally highlighted that, even supposing provider exports stay Israel’s primary hi-tech commodity, {hardware} exports grew probably the most during the last 12 months, with output expanding by way of NIS 16 billion.
In share issues, this represented expansion of 20,7% for producers of computer systems, electronics, and optical apparatus, and 12,5% for producers of plane, spacecraft, and comparable apparatus.
Trade in output of high-tech segments by way of financial sector in 20205. (credit score: ISRAEL INNOVATION AUTHORITY)
Moreover, hi-tech corporations accounted for fifty% of the economic system’s expansion in 2025, with overall output within the sector rising 8.2%, from NIS 324 billion in 2024 to NIS 352 billion during the last 12 months.
This additionally displays rising developments within the hi-tech sector’s affect on Israel’s overall Gross Home Product (GDP), with the sphere accounting for 18,3% of GDP (17.7% upper than in 2024).
The document additionally printed that 2025 used to be a file 12 months with regards to overall price range raised by way of start-ups, with $84 billion raised during the 12 months – a 256% build up compared to 2024’s document -.
Synthetic intelligence affects R&D, hi-tech process marketplace
The document additionally warned of the affect of synthetic intelligence at the hi-tech process marketplace, noting that the analysis and building (R&D) sector suffered its first decline in an Innovation Authority document.
In overall, there used to be a decline of three,500 workers in R&D positions, whilst the principle acquire used to be reported amongst workers in product roles, with 15,000 extra positions registered in 2025.
This aligns with one of the crucial business’s newest trends, comparable to Wix’s determination to chop 20% of its workers, bringing up ”AI restructuring.”
In line with CEO Avishai Abrahami, the corporate is now introducing new positions, comparable to “Xengineer and Creators,” whose roles have been “designed from the ground up around AI-native ways of working.” However those new positions require a “faster-moving structure” than what Wix has been the usage of.
“We are moving to a structure with fewer levels between any member of our leadership and the most junior person on the team. Fewer layers means faster decisions, clearer ownership, and less distance between the people setting direction and the people building the product – but it also means a smaller number of people,” Abrahami defined.
Abrahami additionally mentioned that the principle explanation why for the layoffs used to be the dollar-shekel scenario, with the corporate having shekel-dominated prices and dollar-denominated earnings, making it not possible to stay its present operations working with out reducing a few of its Israeli operations.
“This creates a structural pressure on our ability to operate at our current scale. It is a reality that directly shapes what is sustainable for our company,” he added.
