There are 912 Israeli start-ups operating in 27 countries in the European Union, employing 24,223 European residents, according to a first-of-its-kind map of Israeli tech firms operating in Europe.
The mapping was part of a project to assess Israeli activity in different European countries as part of a collaboration between the EU’s Israeli incubator EIT Hub Israel, ISERD, which promotes Israeli cooperation with European R&D (research and development), and manpower firm CQ Global.
The report found that the UK is the main center of activity for Israeli start-ups, with 405 hi-tech companies employing 6,363 residents. In Germany, there are 240 Israeli start-ups that provide employment to 3,135 Germans, while in France there are 183 companies with 1,985 employees. These three countries employ 55% of all Israeli start-up workers in Europe, the report found.
More than a third of Israeli companies active in Europe are engaged in information and software technologies, with the others in the Internet, communications, biomed and clean-tech fields. Some 62% of all companies conduct sales and marketing activities in Europe and 23% have R&D centers, the report said.
A survey of the start-ups found that 37% expect growth in the coming year, and that 16% of companies received assistance from the EU in their establishment and expansion efforts. They noted among the considerations for their decision to work in Europe were the attractive target market for products, to be close to customers, regulation, support programs and partners from the continent.
The reputation of Israeli start-ups is particularly noticeable in the United States, but there is also a growing presence in the various European countries, noted CQ Global’s Yotam Zucker. The need to write the report stems from the lack of a good picture of the state of Israeli companies operating in Europe, and the mutual contribution to economic development between the countries, especially in the field of employment, he said.
The report is part of a strategy to deepen ties between Israel and Europe and increase the basket of business opportunities in the areas of innovation, added Adi Bar-El, CEO of EIT Hub Israel.