An Australian, Irishman and German meet in Jerusalem. Why?
Geektime has just published an invigorating summary on the rise of Jerusalem as a start-up centre.
Jerusalem today is replete with accelerators, including for minority sectors. It has just hosted the OurCrowd conference for 6,000 delegates, looking at microfunding for start ups. Intel is restructuring its plant in the capital. Mobileye, the hottest item in global smart car tech, has its HQ in the holy city.
In other words, Jerusalem has fully entered the game of the “start up nation”. And that is not a phenomena that is slowing down. In 2016, according to IVC Research:
Israeli hi-tech companies raised an all-time high of $4.8 billion, which was an 11 percent increase above the $4.3 billion raised in 2015. The average financing round, which has been constantly rising over the past five years, reached $7.2 million in 2016, and most of the investment deals in 2016 involved later stage companies.
So which countries are capitalising on this economic and commercial growth? Well here are three very different uptakes.
The Germans are flooding in. Last week, the mayor of Cologne visited the Holy Land to prepare for a future delegation that will encourage entrepreneurial exchange. Next month, it will be the turn of a delegation form the economic powerhouse Westphalia to found out how they can benefit.
From downunder, the Australians have taken a different track. There are now 12 Israeli companies listed on the Australian stock exchange, with more expected to follow in 2017. Following Prime Minister Netanyahu’s visit to Sydney last week, the following statement was released.
Bilateral trade between Israel and Australia, as expressed in import and export, comes to $1.1 billion annually (2016). However, this data does not reflect the real scope of trade. Most Israeli companies active in Australia supply IT services, among them many companies active in cyber-security. Since service exports are not expressed in customs reports and in import/export reports, and since a significant amount of Israeli exports to Australia are carried out through third parties like the U.S., Singapore or European countries, we estimate that the scope of trade is closer to $2 billion.
And not to be left out are the Irish. Israel has been promoting a new airport in the desert near Eilat. Ryan Air simply dominates the territory there with 43% of the flights. They flew in about 10,700 travelers in January, at least 30% more than its nearest rival. The company intends to expand its scope to cover other destinations from Israel during 2017.
Jerusalem has a relatively high number of ultra-orthodox (Haredi) Jews. Last week, President Rivlin opened an incubator designed specifically for the needs of this community. Clearly, this very special city still has much more to offer the world.
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