Israel Innovation Authority Creating an innovation ... · New MNC R&D center. 25,000 Increased...

innovationisrael.org.il

Israel Innovation Authority

Creating an innovation friendly

legislative environment

Shomrat Shurtz,

Sr. Director, Business Development,

Israel Innovation Authority

25,000

Global Leadership in R&D

National expenditure on civilian R&D as % of GDP

Source: OECD, 2018

2.4

OECD

4.3

2018

$6.5BCapital raising

A record year

$12.6BTotal exits

12New MNC

R&D center

25,000

Increased Involvement of Multinational Corporations

0

50

100

150

200

250

300

50%of High-tech

product

380

R&D centers

20182014201020062002199819941990198619821978197419701966

What Makes Israel Successful?

Government

Multi-nationalcorporations

PrivateFunding

Army

Startups

Academia

Growth Companies

$ 500 millionTotal Funding Budget

1500 Projects

(670 Companies)

$ 130 millionFor “New Clients”

2018 Numbers

NeutralityGrants based solely on

technological excellence

and business potential

Risk TakingFinancing with conditional

loans; repayable

by royalties

(no equity)

MatchingCo-Invest with the

private sector

Principles of the Israeli

Innovation Policy

Enabling the Market - Not Leading It

Why Should Governments Invest in R&D?

Complementing private market investments by addressing

market failures

✓High risk investments

✓ Early stage

✓ Lengthy ROI sectors

✓Future tech waves

✓National infrastructures

25,000

Promoting Innovation in Israel

REDUCE

Regulatory Hurdles

PROVIDE

Financial Tools

SUPPORT

Innovation Vehicles

• Regulatory sandbox

• Pilot programs

• Tech governance (WEF)

• Debt Tools

• Institutional investments

• Direct Funding

• Innovation lab

• MNC programs

Government Facilities as Beta Sites

✓Companies benefit from field testing options

✓Public infrastructures exposed to high-end innovative solutions

✓Government entities adjust regulations to promote innovation

ICT

Authority

Interior

AffairsAgricultureHealth Transport

Environment

Protection

National

Cyber

Directorate

TourismSecurities

Authority

Construction

&

Housing

The Challenge - Valley of Death…

The Solution - Funding at later stages

Pilot Program – A joint program of the Innovation Authority,

Digital Israel Bureau and the MoH.

How does it work?

• Biannual call for applications

• Technology companies submit a request for funding, with a health organization as a subcontractor

• Comprehensive screening process conducted by Innovation Authority, in conjunction with representatives from Digital Health Department in Ministry of Health

• Selected proposals receive between 20-50% of funding for pilot (or more, if for infrastructure pilots) according to matching

Years of

EMR records World’s

2nd

largest centralized

EHR system

Digital health

companies20+

580

(Bloomberg)

World’s

4th

Healthcare system

Unique Digital Infrastructure

Source: Global Innovation Index 2017

Thank You