CTECH – Latest Israeli Innovation & Tech News Oct. 2026
Capitolis raises $220 million from Wall Street giants at $1.9 billion valuation. Citi, Bank of America, Nomura, Tradeweb, J.P. Morgan, UBS and other major financial institutions are backing the fintech as it expands into securities lending through its eSecLending acquisition. Read more
Israeli crypto trader arrested over alleged multimillion-dollar tax evasion scheme. Police and the Tax Authority say the suspect concealed cryptocurrency activity and income, while searches uncovered foreign currency and a luxury vehicle allegedly registered under another person’s name. Read more
“This is a bad sign for NextVision”: Fidelity’s surprise $425 million exit rattles investors. Fidelity sold roughly 60% of its NextVision stake for about $425 million after investing $280 million just over a year ago, prompting investors to question the timing of the exit and whether the drone maker needs to diversify its growth. Read more
Elbit to showcase Hermes 900, PULS and autonomous systems at Marrakech Air Show. The company’s first appearance at the event comes as Morocco has emerged as an increasingly important market for Israeli defense technology. Read more
Argentina turns to Israeli-made ARAD rifles after evaluating eight competing companies. After a year-long technical evaluation, Argentina selected IWI’s ARAD-5 and ARAD-7. The first shipment has been delivered under a government-to-government agreement with Israel. Read more
Iranian hackers posed as Dubai Airports recruiters to breach Iraqi infrastructure. Palo Alto Networks’ Unit 42 says the same group, which brands its tools after “Peaky Blinders,” ran a parallel phishing campaign against an Israeli entity this summer. Read more
Astera president: “I want to look back and see that we built an iconic company of the AI era.” Sanjay Gajendra says Astera Labs aims to become one of the technology giants created by the AI boom, as demand for data center connectivity surges and the company expands its Israeli development center. Read more
“Sapiens had a poor culture of failing to keep promises”: Advent’s Mike Ettling on layoffs, AI and a company reset. The Advent partner and Sapiens chairman says clients repeatedly complained that the company failed to deliver on commitments, prompting a sweeping management overhaul, 800 layoffs and a new strategy built around AI. Read more
Enso to acquire two marketing firms for up to $25 million to bring AI agents into advertising. The Israeli startup plans to acquire PPG Digital and U.S.-based LeadCoverage, adding around 50 employees as it moves to combine AI agents with traditional marketing operations. Read more
Fidelity sells most of its NextVision stake for $426 million. The U.S. investment giant is selling 5.7 million shares in the Israeli drone camera maker at a 7% discount, leaving it with about 3.1 million shares. Read more
Revolut ramps up Israeli hiring as it seeks a foothold in the banking market. The fintech giant is building capabilities in credit, risk and regulation ahead of a potential launch in the country. Read more
Foreign investors are pulling back from Israeli stocks as appetite for banks collapses. Foreign investors made just NIS 2.7 billion in net share purchases in the first nine months of 2026, down nearly 70% from a year earlier, while bank stocks swung from a major source of inflows to a major source of outflows. Read more
OpenWeb came close to a deal that could have saved it. Then the talks collapsed. A proposed agreement would have given the Israeli company access to frozen funds and bought it time to restructure, but the deal was never signed as the standoff with its lender intensified. Read more
“They condemn Israel publicly while quietly acquiring our air defense systems.” Israel is ramping up domestic weapons production as European governments tighten restrictions on trade with Israel, but defense companies warn that achieving even partial self-sufficiency will take years and billions of shekels. Read more
Nikesh Arora: “I’m not firing” Palo Alto’s 6,000 engineers. Other jobs are “fair game.” Palo Alto Networks’ CEO says its engineering headcount will be protected even as AI boosts productivity, while other functions are more vulnerable. Read more
After losing 99% of its value, Foresight is leaving the Tel Aviv Stock Exchange. The 2021 market sensation will delist in January as it shifts its focus to Nasdaq and explores a new strategy centered partly on data centers. Read more
Haredi women are entering Israeli high-tech. AI may put them on the front line of its disruption. Their employment rate has climbed sharply, but nearly 70% of Haredi women seeking high-tech jobs are concentrated in software roles increasingly affected by AI. Read more
Inferize raised $10 million in stealth. Less than nine months later, Nebius is buying it for up to $150 million. The Israeli AI infrastructure startup had just 17 employees and had never publicly disclosed its Seed round. Read more
Snyk laid off 20% of its workforce after writing off technology from Israeli acquisitions Helios and Enso. The cybersecurity company cut approximately 203 employees in June and expects the layoffs to cost up to $13.8 million, while its latest filing reveals that technology acquired from Helios and Enso had been written down to zero following a broader strategic shift. Read more
$13.2 billion in nine months: Inside Israel’s AI-fueled funding surge. Three quarters of funding data suggest 2026 will comfortably exceed 2025’s total of $15.6 billion. Read more
Israel’s startup funding hits $2.77 billion in September, driven by five mega-rounds. According to CTech Data, the month’s largest deals accounted for nearly 70% of the capital raised as investors poured money into AI and cybersecurity. Read more
RapidAPI co-founder raises $15 million for AI marketing startup enso. Mickey Haslavsky’s company has raised $23 million to build what it calls “Agentic Growth Hacking.” Read more
Palo Alto Networks becomes first company to hit NIS 1 trillion on Tel Aviv Stock Exchange. The Israeli-founded cybersecurity giant has more than doubled its value since beginning to trade in Tel Aviv seven months ago. Read more
Nebius eyes another Israeli acquisition in $100-150 million deal. The Nasdaq-listed AI infrastructure company is exploring a local acquisition after buying Tavily for up to $400 million. Read more
OpenWeb placed under temporary receivership over $20 million debt. The District Court ordered the immediate appointment of a temporary receiver following a request from lender Mars Growth Capital to enforce its liens. Read more
Snyk’s revenue passes $300 million as losses widen and AI push raises costs. Developer security company grows revenue 11% to $309.2 million, but operating loss rises to $202.7 million as it shifts resources toward AI security. Read more
OpenAI appoints Motti Hadas as its founding GTM hire in Israel. Hadas will lead the AI giant’s engagement with Israeli startups and the country’s digital-native technology ecosystem. Read more
Israeli defense company Smart Shooter wins U.S. counter-drone contract worth up to $150 million. The company’s rifle-mounted SMASH system is being procured for U.S. force protection and base defense. Read more
“I grabbed the attacker, put him in a chokehold and pulled him out”: Israeli recounts Flydubai cockpit fight. After hours stranded in Saudi Arabia following the emergency landing, the 174 passengers arrived back in Israel on a replacement Flydubai aircraft, while the Indian captain remained hospitalized. Read more
Reco raises $50 million with AT&T backing to secure AI agents. The company, which began working with AT&T as a customer, plans to expand sales, partnerships and customer support as large enterprises deploy more agents. Read more
Cato Networks employees sell another $100 million in shares. The cybersecurity company has completed its second employee secondary in a little over a year as it continues to grow while remaining private. Read more
Protego Ventures closes $125 million fund for Israeli defense tech. The fund focuses on early-growth companies with battlefield-proven technologies and plans to expand into the US with its second fund. Read more
Fintech unicorn Capitolis to acquire eSecLending for $200 million. The company’s fourth acquisition in five years will add securities lending capabilities and 120 employees while expanding its client base to include major institutional asset owners. Read more
How OpenWeb went from a $1.5 billion unicorn to seeking insolvency protection. The Israeli startup raised nearly $400 million and spent $260 million on acquisitions as it expanded from comment moderation into advertising and audience monetization. Now it is fighting for time to restructure. Read more
Wiz veteran raises $12 million Seed to secure AI agents at Rig Security. Guy Kozliner, who worked on Wiz co-founder Ami Luttwak’s CTO team, is building a platform to distinguish AI agents from the humans whose identities they use. Read more
