Opportunities for Industrial Cooperation and Investment in Israel
ICT
Innovation in ICT Gives Israel the Edge

Israel is a global leader in the information and communications technology (ICT) sector. Innovation in civilian and military applications has resulted in the emergence of world-renowned Internet, IT and communications companies in Israel, along with hundreds of smaller tech companies and over 1,000 active Israeli ICT start-ups. Most significantly many of the world’s major ICT companies from Intel, Microsoft, Motorola, IBM, Cisco, Siemens and Samsung to Google, Apple and Facebook have a major development presence in Israel. Israeli companies have changed the face of global ICT – from smaller, smarter and faster chips to disk-on-key, voice over IP, voicemail, conditional access, instant messaging and Mobile WiMAX, which are all attributed to Israeli R&D.
The country’s leading telecom companies have installed communications infrastructures worldwide.
Among the veteran and larger Israeli players in this sector are ECI Telecom, which over 45 years has pioneered key technologies including voice comprehension, SDH, DSL, and the establishment of global networks. ECI is currently focused on specific sectors such as broadband access, optical networking and Next Generation Networks (Voice over IP solutions), where its technology makes a difference.
EZchip has recently emerged as a leading manufacturer of chips for mobile phones, and in an age when big data requires ever-faster connect technology, Mellanox Technologies is a global leaders in Infiniband connectivity solutions.

Communications Technology
Motorola Solutions Israel, a subsidiary of Motorola solutions Inc., has also been active in Israel for more than 40 years. The company has been a 3G cellular technology leader and also develops a wide range of communications products and communications network management systems which are marketed worldwide.
Activities in Israel are a leading aspect of prestigious global projects such as: mobile terminals for the US Postal Authority and world courier industry and the installation of MotoBRIDGE systems in Florida. The center also plays a significant role in developing Motorola products worldwide in a range of areas such as; ASTRO and TETRA communications systems for public security missions; broadband communications for WiMAX/LTE networks for security organizations; computerized command and control systems etc.
Other major players in Israel’s telecom sector include Comverse Technologies, the leading provider of software and systems that enable multimedia value added services in wireless and wireline networks and Telrad Networks which provides optical networks and network solutions and has expertise in developing products in the areas of IP NGN, gateways, optical, metro, enterprise, wireless, and switching. Amdocs has developed innovative billing and CRM software solutions, while NICE Systems is a global provider of advanced solutions that help organizations extract meaningful insight from interactions.
Ness Technologies provides IT services for the telecom sector and Orckit-Corrigent, which offers complete end-to-end Packet Transport Network (PTN) solutions for SDH migration to MPLS / MPLS-TP networks and Carrier Ethernet applications like enterprises VPN connectivity, residential triple-play and mobile backhauling.

Satellite Technology
Gilat Satellite Networks delivers data, Internet, voice and video via satellite. NDS, recently acquired by Cisco, is a leading supplier of open end-to-end digital pay-TV solutions for the secure delivery of entertainment and information to television set-top boxes and IP devices.
Rad Data Communications is a leading manufacturer of network access equipment for data communications and telecommunications applications. The Rad Group includes Radware, which has developed Intelligent Application Switching solutions.

Advanced Solutions
Alvarion has developed 4G wireless broadband solutions with over two million end user units deployed by carriers, ISPs and private network operators in 130 countries worldwide. Alvarion has earned industry recognition for its distinctive open network approach that grants its global ecosystem of customers and partners the flexibility to deploy solutions that best fit their current needs.
The Mer Group offers advanced turnkey solutions across the entire range of wireless, broadband and CC&B systems, while Metalink is a global provider and developer of high performance wireline and wireless broadband communication silicon solutions for telecommunication, networking and home broadband equipment makers.
AudioCodes enables new voice infrastructure by providing innovative, reliable and cost-effective technology, products and solutions. TTI Telecom provides advanced, integrated Operations Support Systems (OSS) and Business Support Systems (BSS) for telecom service providers and VCON Communications develops and manufactures networked video over IP solutions. Dekolink Wireless develops and manufactures repeaters and cell extenders while Orbit develops, markets and supports sophisticated automated microwave test and measurement systems.
TTI Telecom provides advanced, integrated Operations Support Systems (OSS) and Business Support Systems (BSS) for telecom service providers and VCON Communications develops and manufactures networked video over IP solutions.
Dekolink Wireless develops and manufactures repeaters and cell extenders while Orbit develops, markets and supports sophisticated automated microwave test and measurement systems. CableMatrix is a leading provider of advanced, policy management software platforms and tools and Extricom develops high performance 802.11 a/b/g wireless LAN (WLAN) technologies for the enterprise market. SerVision is a manufacturer and developer of advanced and fully integrated video monitoring systems using highly sophisticated video processing with state-of-the-art cellular / wireless analog communication.

Leveraging Competitive Advantages
In the coming years Israeli high-tech can continue leveraging its competitive advantages in such areas as mobile and Internet applications, home networking, storage area networks, and wireless IP networking. In some sub-sectors such as transcoding, Israel has virtually 100% of the global market through three firms Emblaze Systems, MobiCell Networks and Philips MP4Net. Runcom Technologies develops superior technological standards and products that target the emerging 4G market, enabling the delivery of enhanced communications services to cellular phones and other mobile devices.
Philips is only one of dozens of major overseas corporations who have invested in Israeli telecom. Cisco Systems alone has acquired nine Israeli companies for $6 billion including digital TV rights protector NDS (now Cisco Videoscape) as well as P-Cube, Actona Technologies and Riverhead Networks.

Overseas Investment

Israeli telecom and IT companies are global leaders in such areas as digital health, big data, remote learning and cyber security
The acquisition of Mirabilis by AOL for $407 million in 1998, after it had developed the then unique ICQ messenger, which created peer-to-peer architecture with a central server that provides users with other users’ Internet addresses, was a deal which inspired the country’s young generation of high tech entrepreneurs. Subsequent deals seemed to get larger and larger. Intel bought DSPC, which was developing chips for mobile phones for $1.6 billion, and then Marvell Technologies acquired Galileo Technologies, which develops advanced communications systems on silicon for $2.7 billion.
The biggest deal of all came in 2000 when Lucent purchased Chromatis, which was developing optical networking technologies, for $4.8 billion. M-Systems, which developed the revolutionary disk-on-key was acquired by Sandisk for $1.5 billion.

Recent Acquisitions
Acquisitions in the past few years include: flash memory controllers company Anobit acquired by Apple for $390 million, mobile ads developer Amobee acquired by Singapore Telecom for $321 million, video conferencing company Radvision acquired by Avaya for $230 million, fiber optics chipset developer BroadLight acquired by Broadcom for $200 million, smartphone application developer Worklight acquired by IBM for $60 million, and flash memory storage developer XtremIO acquired by EMC for $450m. Israel is also a leader in the development of smartphone apps and traffic report GPS company Waze was acquired by Google for $1 billion in 2013.
Israeli telecom firms also attract billions of dollars more in investments through IPOs, private placements and VC funds. Companies traded on overseas markets include NICE Systems, Amdocs, Verint Systems, Gilat, Radware, AudioCodes, BATM, and gaming and betting software platform provider Playtech. Recent IPOs include car safety technology company MobilEye on the NYSE, cyber security company CyberArk on Nasdaq, and digital ad company Matomy on the LSE.

World Leaders
Israeli telecom and IT companies are global leaders in such areas as digital health, big data, remote learning and cyber security. All these diverse and innovative ITC technologies have one important attribute in common – the Israeli brand of entrepreneurship, which has been highly successful in transforming ideas into marketable products.  


Produced By: Daniel Uzan Media & Communications