Why Israel, Why Now? Investing in Israeli Health Tech.
Health Tech
By Beth deBeerIsrael has solidified its position as a global innovation hub, and its health tech sector exemplifies the country’s bold and pioneering spirit. With a robust ecosystem encompassing digital health, medical devices, and biopharmaceuticals, Israel presents unique opportunities for investors.
Investing in Israeli health tech is not just a good idea but a strategic one.

“Now is a compelling time to invest in Israeli health tech. The sector, with 1,600 companies—nearly 25% of Israel’s startup ecosystem and more than 200 new companies founded in the past three years—is a powerhouse of innovation yet remains underfunded, receiving just 11% of total investments. Israel’s health tech strong fundamentals, including world-class research and a unique, data-rich healthcare system, provide a solid foundation for growth.
Valuations have corrected post-COVID, making investments more attractive than in recent years. Founders are now more seasoned, often second-time entrepreneurs with a clearer understanding of market needs and the US healthcare system—a key market for Israeli health tech startups. The opportunity is ripe for smart investors to provide not only funding but also strategic support to help these companies scale and thrive in a rapidly evolving global health tech landscape.”
– Lena Rogovin, LiveLong.Life
This diversity ensures a constant pipeline of groundbreaking solutions ready to address pressing global health challenges. Israel’s health tech ecosystem thrives on a blend of world-class infrastructure, entrepreneurial culture, and national health policies.
This dynamic landscape includes 700 digital health companies driving solutions in telemedicine, AI-powered diagnostics, and health data analytics. 650 medical device innovators creating cutting-edge tools for diagnostics, surgical procedures, and patient monitoring. 450 pharmaceutical companies advancing drug discovery and personalized medicine.
Key factors include:
- Digitized health records spanning 25 years, providing a trove of data for AI-driven solutions.
- A diverse population, enabling comprehensive testing across genetic variations
- Collaboration between startups, academia, and multinational corporations, fostering innovation through shared knowledge.

“In the past century, we’ve added 20+ good years onto the lifespan with minimal changes to any of our social institutions, including healthcare, retirement, education, etc. We need to reimagine the way we live as a society in order to match health span and lifespan as the current mismatch is placing an increasingly significant burden on the global healthcare system.
Where Israel excels is creating innovation that can play a significant role in reimagining those social institutions. Healthcare will need to transform from sick care to preventative medicine with a focus not only on physical health but also the social determinants of health. Since Israel has a socialized healthcare system and we have digitized health data on the entire population from cradle to grave, Israel has an exceptional sandbox for our talented entrepreneurs to tackle some of these major global issues.“
– Raissa Hacohen, Managing Partner, Longevity Venture Partners
Investment Opportunities and Resilience
Even amid challenges, Israel’s health tech sector has shown remarkable resilience. In the first three quarters of 2023, it attracted over $1.9 billion in private investments and $725 million in public funding. These figures underscore the sector’s ability to weather global economic downturns and local disruptions alike.

“There’s something in the very fabric of Israeli society that sparks extraordinary innovation. Conflict and adversity do not discourage Israelis; they inspire them. In this country, challenge is a catalyst—fuel for finding what isn’t working and making it work. This relentless drive to overcome obstacles has already propelled Israel to the cutting edge of cybersecurity, deep science, and technology.
Now, that same unstoppable energy is transforming healthcare. Over the past few years, Israeli health tech companies have made increasingly significant inroads into the U.S. market—a complex sector once considered nearly impenetrable. But Israeli innovators, through their tight-knit community and shared lessons, have mapped out the obstacles. They aren’t merely figuring out the rules; they’re mastering how to bend and reshape them to succeed in the market.
Today, Israeli health tech stands on the threshold of explosive growth. In a space still underexploited by international competitors, these resilient entrepreneurs have the clarity, the connections, and the proven track record to turn opportunity into reality. For investors seeking the next wave of transformative technology—and a robust, untapped sector poised for success—now is the moment to invest in Israeli health tech.”
– Dr. Jonah Mink, Beluga Health
Addressing Global Health Challenges
Israeli health tech is uniquely positioned to confront some of the most pressing global health challenges, including aging populations, chronic diseases, and disparities in healthcare access. As the demands on healthcare systems grow, so too does the need for transformative innovation.

“With a growing physician shortage, an aging population, and significant waste—the healthcare system is crying for a change from the individual patient to the provider and the buyer. After more than a decade in the industry since its early days, we’re seeing a new wave of digital health entrepreneurs.
As healthcare providers and payors face tighter budgets, startups must focus on automating workflows end to end to ensure their solutions meet the needs of key stakeholders and solve multiple problems, in a way that is cheaper, faster, and better. With Israel’s strong technical talent and access to substantial amounts of personal health data, the next big breakthrough in digital health may very well come from here.”
-Gal Noyman, Lionbird
By leveraging its technological strengths and a wealth of health data, Israel is driving innovation that not only addresses immediate healthcare needs but also lays the groundwork for a more equitable and efficient global health system.
Key advancements include:
- AI and Big Data: Predictive analytics for disease prevention and personalized treatment.
- Remote Monitoring: Tools for managing chronic conditions in real-time.
- Innovative Therapies: Solutions addressing underserved areas like mental health and rare diseases
Israel’s innovative health tech solutions have gained global traction, with companies like Zebra Medical Vision and Aidoc setting new standards in AI-driven medical imaging and diagnostics. In addition, Israeli companies are tackling global diseases, such as Zzapp Malaria and Diptera.ai which are combating malaria through cutting-edge technology.

“It’s an exciting time to be in the health tech space, and we are proud to be among many Israeli companies taking on global health challenges. The need is huge and growing, and the intersection of AI and biology is opening new frontiers. At Diptera.ai, we are using advanced optics, machine learning, and automation to modernize the tools to fight mosquitoes and the diseases they spread like malaria, dengue, Zika and more. This will revolutionize health and livelihood for literally billions of people.”
-Navonel Glick, Diptera.ai
Investing in Israeli health tech is more than a financial decision—it’s a commitment to shaping the future of global healthcare. With its innovation-first mindset, unparalleled infrastructure, and proven resilience, Israel offers a fertile ground for investors seeking impactful opportunities in the health tech domain.
Contact us for more information on investing in Israeli innovation HERE.