The Cabinet on Sunday 22 Elul at the weekly cabinet meeting approved Prime Minister Binyamin Netanyahu’s plan to grant benefits to employers in the cyber field at the national cyber park in Beersheva.

The benefit is designed to attract many leading companies and thousands of employees to the park in the coming years, with the intention of achieving 2,500 employees in the next decade (approximately 50% of those currently employed in Israel).

The decision is also designed to encourage companies to begin operating at the park forthwith in order to advance the rapid development of the ecosystem at the site. Attracting many leading multi-nationals to a new site, outside the heart of the existing high-tech industry in Israel, is a national challenge that requires commitment and encouragement by the government. The plan was formulated by a team led by Prime Minister’s Office Director General Eli Groner along with Finance Ministry Budget Director Amir Levy and Israel National Cyber Bureau head Dr. Eviatar Matania.

Prime Minister Netanyahu stated “Moving forward on the developing cyber and high-tech park is a strategic change for Israel and creates new energy. This is my vision. We are taking a growth engine and government investment and are turning them into a global industry in the south. This is a government investment that we are leveraging for security alliances. I said that we would be among the five leading countries in the world in cyber and we are already in the top three.

“Aside from the goal of positioning Israel as a cyber-power, we are pushing it so that Beersheva becomes the cyber capital of the eastern hemisphere. This will have major positive implications for the entire Negev. This is of historic importance and we must push it forward with full force. There is a combination here of relying on the local market, the ability to translate it into national capabilities and integration with the developing market. This is what strengthens the economy so that it can grow forward.”

Mr. Eli Groner added “The fact that we are currently among the leading countries of the world in the cyber sphere does not ensure that we will be in another decade. The State of Israel needs to ensure its position as a global cyber leader for both security and economic reasons, and our responsibility as the government I to make every effort to this end.”

Beersheva Mayor Rubik Danilovich stated “Today’s government historic decision will turn Beersheva into an international cyber center. This is a strategic move designed to combine research and development, knowledge-intensive industries, technology, academia and human capital. I am convinced that this decision will draw to Beersheva cyber companies from around the world and, as a result, the Negev and Be’er Sheva, its capital, will enjoy economic growth and prosperity. I am full of appreciation for the government and Prime Minister Benjamin Netanyahu for the confidence, support and visionary leadership. The future is already here.”

INCB head Dr. Matania pointed out that Israel is at an excellent jumping-off point vis-à-vis its cyber industry. Approximately 250 companies are currently active in the field, with approximately half of them being start-ups that have been established in the past five years. Over 25 multi-national firms have cyber activity based in Israel. Since the start of 2015, Israeli cyber companies have raised approximately $250 million, almost 20% of global investments in cyber. In the first half of 2015, 14 Israeli companies were acquired for an overall sum of $1.3 billion. The Israeli cyber industry has major growth potential that finds expression in the possibility of increasing the market by billions of shekels and creating thousands of new jobs.

(YWN – Israel Desk, Jerusalem)