The Shift from SaaS to Deep Tech in Israel Explained ft. Guy Navon of Discount Tech

The Israeli tech ecosystem is evolving.

In this conversation, Guy Navon, CEO of Discount-Tech, shares a detailed view of how the ecosystem is changing, from investment trends to the impact of AI on startups.

After years of growth driven by SaaS and cybersecurity, the focus is shifting toward deep tech, climate tech, food tech, and agritech. At the same time, more foreign investors are entering Israel, bringing larger rounds and new opportunities.

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But there are also challenges. More startups are incorporating in the US, and the economics of building a company have changed. Speed alone is no longer enough. Founders now need to build sustainable business models from day one.

Guy also explains how banking, venture debt, and access to global investors play a role in helping startups grow and scale.

Happy Pesach from Us to You

Pesach is a story about moving forward when the path isn’t clear and this year, that story feels closer than ever.

Across Israel, people are building, adapting, and showing up every day, even in the middle of uncertainty. Teams are still shipping. Founders are still creating. Engineers are still solving real problems in real time.

Resilience here isn’t a slogan. It’s something you can see in how the ecosystem keeps moving, even when everything around it feels heavy.

From all of us at IsraelTech, wishing you a meaningful Pesach.

May it bring a bit of quiet, a bit of clarity, and a reminder of how much strength there is in this community.

Shorts of the Week

Do Founders Still Need VCs? ft. Eran Savir of Savyon Ventures

Most Breaches Do Not Start With Some Unknown Threat ft. Sharon Isaaci of Tonic Security

What Drives Great Engineers ft. Zohar Einy of Port.io

This Week in Israeli Tech News

  1. UVision Advances Toward $3.5B Nasdaq IPO Amid Surging Global Demand for Attack Drones

    UVision is a defense technology company specializing in loitering munitions - autonomous “suicide drones” that combine real-time intelligence gathering with precision strike capabilities for modern battlefields.

    The company is reportedly in advanced discussions with leading Israeli institutional investors as it builds momentum toward a potential Nasdaq listing, leveraging strong tailwinds from rising global defense demand and a nearly $1B U.S. military contract.

  2. AIR Reaches $1B in Orders for Personal eVTOL Aircraft

    AIR is developing electric vertical takeoff and landing aircraft designed to make personal air mobility practical, accessible, and efficient.

  3. Notch Secures $30M Series A to Scale AI Customer Experience Automation

    Notch provides AI agents that automate complex customer interactions and workflows across regulated industries like insurance, finance, and healthcare.

  4. Onit Security Lands $11M to Accelerate AI-Driven Vulnerability Management

    Onit Security is tackling one of cybersecurity’s biggest bottlenecks by using AI to prioritize and remediate vulnerabilities in real time.

  5. Aryt Industries Sees 300% Revenue Growth Amid Global Defense Demand

    Aryt Industries develops advanced electronic fuzes for defense systems and is rapidly expanding into international markets including the U.S. and NATO countries.

Culture Corner

Special Interview with Founder Eli Beer, United Hatzolah

In a powerful conversation this week, Israel Daily News CEO Shanna Fuld sat down with Eli Beer, the founder and president of United Hatzalah, to talk about what it means to save lives in the middle of an active war. As missiles continue to impact Israel (literally), his volunteer-based emergency network is responding within minutes—often arriving on scene before traditional ambulances. Beer explains how their system works and how drones are playing a critical role in finding people trapped beneath the rubble.

But behind the unity of the volunteers and the innovation that makes the organization fast and effective is a deeply human story. Beer shared what the last month has looked like for his teams as they prepared for and now respond to mass casualty events across the country, often without knowing what the next hour will bring. He also reflected on his own near-death experience—after spending a month in a coma due to COVID-19. He got emotional with us, tellins us about the defining moment that reshaped his perspective on caring for patients. That experience, he says, only strengthened his commitment to building a faster, more effective emergency response system for Israel and he now teaches his volunteers how to deal with patients in a more sensitive way.

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