Israeli cybersecurity firms raised US$4 billion in funding in 2024, more than double the US$1.89 billion from 2023, according to YL Ventures’ report.

The growth was largely driven by advancements in cloud security and AI solutions.

There were 89 funding rounds, with 50 seed or early-stage rounds raising US$400 million, and 16 growth-stage rounds raising US$2.9 billion.

Cybersecurity is an important segment of Israel’s tech industry, contributing 20% to the economy and over half of its tech exports.

Despite challenges from geopolitical instability, Israeli cybersecurity startups are expected to strengthen their global position.

The sector’s resilience is partly due to the influence of Israel’s military intelligence units, fostering a strong culture entrepreneurship.