CTECH – Latest Israeli Innovation & Tech News Oct. 2026
Bill Ackman predicts AI will help Israel produce a trillion-dollar company, warns democratic socialism threatens the U.S. economy. The Pershing Square billionaire, who has invested close to $100 million in Israel, believes AI will give small, highly skilled teams a competitive edge. In an interview with Calcalist, he discusses his Israeli investments, the risks of political polarization and a $400 million initiative to accelerate medical innovation inspired by his daughter’s recovery. Read more
Palantir CEO says Israel is the “minor exception” in AI race dominated by U.S. and China. Alex Karp offered no details about Israel’s standing, but singled it out as an exception to a global contest he sees as controlled by Washington and Beijing. He also warned that Europe risks becoming dependent on their technology and that AI-driven wealth could fuel demands for a wealth tax. Read more
“Immense and irreversible damage”: Economists warn Netanyahu over sanctions remarks. A letter signed by more than 100 economists, business leaders and former officials warns that banking sanctions could paralyze Israeli businesses, drive away investment and undermine the country’s ability to finance its security. The signatories call Netanyahu’s proposed alternative economy baffling. Read more
Israel cannot lead the next wave of technology in isolation. The next decade will create extraordinary opportunities as AI transforms industries and creates new technology markets. Israel has the talent, experience and entrepreneurial ambition to lead in many of them, but that leadership depends on continued innovation, commercial execution and the trust of global customers. Read more
Cyberattacks on Israeli organizations surge ahead of elections, Check Point warns. Attacks against government organizations rose 82% in early October, while those targeting energy and infrastructure more than doubled. Check Point also identified suspected plans to disrupt major websites on election day and phishing campaigns seeking voters’ personal information. Read more
“You’d be better off showing up without a ring”: Women founders confront bias in Israel’s cyber industry. Women building cybersecurity companies say they face assumptions about their technical abilities, leadership potential and commitment to their careers. The imbalance is stark at the top, where women account for just 5.1% of CEOs at private Israeli cyber companies. Read more
Bill Ackman and Eric Schmidt back secretive Israeli AI startup Two Delta. The company has raised tens of millions of dollars in seed funding as it develops technology to accelerate AI models. Its research also examines why AI coding agents struggle to keep applications working as users add features. Read more
Bill Ackman in Israel: “The country could become one of the best economies in the world.” Speaking at Sheba Medical Center’s ARC summit, the Pershing Square founder cited Israel’s concentration of talent as a potential advantage in the age of AI. Ackman also discussed his plans for an AI-native brain research institute following his daughter’s stroke. Read more
“This is news to us”: Fireblocks rejects reports of $2.5 billion Visa deal. The digital asset infrastructure company denied reports that Visa is seeking to acquire it. The reported price would value Fireblocks roughly 69% below its $8 billion valuation in a 2022 funding round. Read more
Did Datadog really offer $4 billion for Israeli cyber startup Upwind? The Israeli cloud security startup announced a $300 million funding round at a $3.8 billion valuation last month. Read more
Cyber startup Mave raises $28 million Series A to automate threat investigations. The funding, led by Red Dot Capital Partners, brings Mave’s total funding to $34 million. The company is developing AI that investigates alerts across existing security tools without requiring organizations to centralize their data. Read more
Sheba sells ARC innovation arm to Redesign Health. The deal transfers management of ARC’s global network and the rights to establish new hospital innovation centers to the U.S. healthcare venture builder, while Sheba retains its stakes in portfolio companies. Read more
Vintage raises $920 million as private markets reshape venture capital. The Israeli-founded investment firm has brought assets under management to more than $4.8 billion as companies stay private longer and investors seek access to venture-backed businesses before they reach public markets. Read more
Rylo partners with Nvidia to train AI for sign language translation. The Israeli startup will use Nvidia’s supercomputer to accelerate research into real-time sign language translation. It is also launching a free Mac application that captions workplace meetings, expanding its accessibility technology beyond telephone calls. Read more
After McDonald’s, Wiz founders explore a deal for credit card company CAL. Assaf Rappaport and his co-founders are considering an acquisition of CAL, adding another major Israeli business to their expanding interests. Their inquiry comes as Discount Bank weighs its options after the collapse of the original deal. Read more
“Our strategy is working,” says eBay CEO, as he announces layoffs. Jamie Iannone says eBay will cut about 9% of its workforce, or roughly 1,000 jobs, as it narrows focus to fastest-growing areas. Read more
Bank of Israel halts rate cuts as political and currency risks cloud outlook. The central bank held its benchmark rate at 3.25% after three consecutive cuts, despite easing inflation. Its new forecast projects strong headline growth, but much of it is expected to come from production abroad rather than activity within Israel. Read more
Reserve duty is costing Israeli soldiers their careers and financial security. A new Latet report finds that nearly one-third of reservists say their financial situation has deteriorated since before the war, while 70.2% have postponed or abandoned educational or professional opportunities. Those who served the longest reported substantially greater damage to their income and career prospects. Read more
Qualcomm lays out layoffs after annual reviews, citing employees who “fell short”. A memo from the CEO says the cuts will address situations where the company “has consistently fallen short of expectations.” Read more
SanDisk expands in northern Israel as AI boom fuels stock surge. The chipmaker is relocating 120 employees to a new campus in the North High-Tech Park in Bar-Lev, while its shares have climbed nearly 1,000% over the past 12 months. The park is expanding as it seeks to grow its workforce from more than 1,000 to over 5,000. Read more
XTEND loses two-thirds of its value as shares hit new low despite $40.5 million U.S. drone order. The Israeli drone maker’s market capitalization fell to $495 million this week, down from roughly $1.5 billion when it began trading in New York in September. Read more
Elbit expands into underwater autonomy with acquisition of Canadian robotics company. The Israeli defense group has acquired International Submarine Engineering, a developer of autonomous underwater vehicles with more than 50 years of experience. The deal adds technology for surveillance, mine clearance and anti-submarine operations, although its financial terms were not disclosed. Read more
Israel Shipyards and Rafael near €150 million naval deal with Cyprus. The proposed agreement would see Israel Shipyards supply vessels equipped with Rafael weapon systems. The deal would deepen defense ties with Cyprus as Israel expands its security partnerships in the eastern Mediterranean. Read more
Mickey Boodaei steps down as Transmit Security CEO after 12 years. Matt Thompson, the former Socure president and ID.me co-founder, takes over day-to-day leadership as Boodaei moves into the role of chairman to focus on product strategy and the security challenges posed by AI agents. Read more
Shashua’s doubleAI unveils AI models that optimize how software runs. Unlike coding agents that help developers write software, doubleAI’s models focus on how programs execute on CPUs and GPUs, aiming to improve performance without altering the original code. Read more
Boomi acquires Israeli startup Elementary for $40-45 million. The deal marks Boomi’s third Israeli acquisition, following Rivery and Lunar.dev. Elementary’s data observability tools are designed to help companies monitor the quality and reliability of information used by AI agents and enterprise systems. Read more
UAE defense group EDGE increases investment in Israeli drone software company. EDGE has expanded its strategic investment in High Lander as the company raises an additional $16 million, bringing total funding to $30 million. High Lander is extending its software from drone fleet management and air traffic coordination into defense and homeland security. Read more
Monday’s AI makeover is pushing managers toward the exit. Five senior executives are leaving as the software company reshapes its organization and seeks to cut management layers. The restructuring comes as monday.com tries to convince investors that its AI strategy can reverse a 37% share-price decline this year. Read more
Three AI bubbles are testing Wall Street’s faith in the boom. From Anthropic’s anticipated IPO to the semiconductor sell-off and mounting pressure on neocloud companies, investors are reassessing the cost of the AI revolution. Strong earnings could revive the rally, but the market increasingly needs proof that massive investments can generate sustainable returns. Read more
25-year-old Israeli founder sells stealth AI startup for up to $35 million without raising capital. Hex-Rays, the Belgian developer of reverse-engineering tool IDA Pro, is acquiring HexAI one year after its founding. The six-person startup, built by Elon Gliksberg without outside funding, develops an operating system for AI agents conducting security research. Read more
John Paulson: “A dollar invested at Hebrew University goes ten times further than at Harvard.” The billionaire investor has donated a record $250 million to the Israeli university, citing its academic quality and lower costs. In an interview with Calcalist, he discusses his family ties to Israel, fears of a French debt crisis, inflated AI valuations and why he believes Bitcoin will eventually become worthless. Read more
Israeli high-tech is missing 18,000 jobs as investment concentrates in AI and cyber. The sector employed about 400,000 people in 2025, fewer than expected had pre-pandemic employment growth continued. A new study also finds that investment is increasingly flowing to established companies and a narrower range of technological fields. Read more
Wiz founders eye McDonald’s Israel franchise at just $160 million. The four entrepreneurs are reportedly negotiating a price far below the NIS 1.5 billion to NIS 2 billion associated with the previous franchise deal. McDonald’s is said to be prioritizing a long-term private operator over the highest offer. Read more
Arrow developer IAI has six weeks to resolve IPO crisis. The state-owned defense contractor is racing to resolve a dispute over disclosure of classified activities before a deadline that could jeopardize its status as a reporting company. IAI is preparing to sell at least 20% of its shares at a targeted valuation of $33 billion. Read more
“We may have to get down on our knees”: Israel fears U.S. arms restrictions. A senior Israeli defense official warns that changing political dynamics in Washington could make weapons purchases far more difficult, even for systems the IDF urgently needs. With the future of American aid under negotiation, Israel faces a growing dilemma over how quickly it can reduce its dependence on its most important military ally. Read more
