In a concerted effort to bolster the Israeli tech ecosystem impacted by the recent Israel-Hamas war, a global coalition of tech companies, entrepreneurs, and investors has unveiled "Circles of Dialogue,” an online platform and community network aiming to provide vital support to tech founders navigating the challenges posed by the ongoing crisis.
Since its inception, Circles of Dialogue has attracted dozens of big-name companies and investors from across four continents, uniting to offer more than $100 million in immediate investment capital and free services. The coalition aims to fortify existing investments and instill confidence in the market for the next generation of Israeli tech companies.
Circles of Dialogue operates on the principle that Israeli tech plays a pivotal role in the country's economy. According to Startup Nation Central, Israeli tech companies raised nearly $16 billion in 2022, contributing 18% to Israel's gross domestic product. The sector also accounts for nearly half of the country's exports and 30% of tax revenue, highlighting its significance to the global economy.
The coalition has highlighted two primary goals: firstly, to aid the Israeli tech sector in securing funds from venture capital, angel investors, and institutional backers; and secondly, to enhance customer acquisition and retention by linking companies with essential services.
The group aims to realize those goals via two initiatives: the creation of the Circles of Dialogue Online Community, which will provide a comprehensive platform for expertise, business support, and technical resources, including cybersecurity monitoring and legal assistance; and the organization of exclusive networking events and regional committees led by local tech hub leaders to facilitate collaboration and dialogue between Israeli companies, investors, and tech business leaders on a global scale.
Ron Suber, a former President of Prosper Marketplace and an investor in the initiative, emphasized the importance of maintaining momentum in Israeli innovation despite the challenges.
“This is a critical moment for the Start Nation, but Israeli innovation and technology continues to be ripe for lucrative investments,” he said. “I wholeheartedly believe in the mission of Circles of Dialogue to ensure the progress made in the last decade does not falter because of the strife. We want to double down, reinforce our existing investments and instill confidence in the market for the next generation of Israeli tech companies.”
More team-ups than a Marvel movie
Circles of Dialogue emerges as the latest addition to a series of collaborative efforts within the tech industry since October 7, aimed at sustaining the sector amidst the ongoing turbulence. Earlier this month, a rapid-response initiative led by Rachashei Lev, a non-profit organization specializing in supporting cancer patients, joined forces with Elron Ventures and Accelmed, in collaboration with the IDF and Israel's Health Ministry. Their mission involved the swift import and distribution of advanced point-of-care medical equipment to address Israel's urgent medical needs.
Simultaneously, a collective of hi-tech entrepreneurs and venture capitalists introduced the Israeli Children's Fund. With a primary fundraising goal of $100 million, the ICF seeks to support children between the ages of 0 and 22 affected by the conflict. The fund aims to offer financial assistance and establish a comprehensive support system, aiding these young survivors in their recovery and reintegration into normal life. This support extends to facilitating transitions to foster care, adoptive homes, or legal guardians who now bear additional financial responsibilities.
In early November, Sarona Ventures, in collaboration with Israeli and American venture capitalists, launched TechShield. The fundraising operation is specifically designed to provide financial support to Israeli companies impacted by the ongoing conflict, enabling them to sustain their contributions to Israel's technology and innovation sector.
These collective initiatives underscore the industry's commitment to navigating the challenges brought about by the current crisis and ensuring the continuity of Israel's tech excellence.