Israeli Tech Funding Hits Two-Year High

The February funding surge was not reliant on a single massive deal; instead, capital was distributed across 23 different funding rounds. This broader allocation of funds contrasts with the trend in 2025, where "mega-rounds" of over $100 million accounted for roughly half of all capital raised. Cybersecurity firms led the charge, with Vega raising $120 million in a Series B round, valuing the company at around $800 million. Other significant cybersecurity deals included Gambit, a startup founded by veterans of the IDF's Unit 8200, which raised $56 million to help companies recover from cyberattacks. The investment focus extended to companies building the data infrastructure for artificial intelligence. Guidde, a platform that helps businesses deploy AI agents, secured a $50 million Series B, while Nimble raised $47 million to help enterprises automate the integration of web data for AI systems. The largest single investment in February went to the weather technology startup Tomorrow.io, which raised $175 million. The funding is aimed at building out its satellite constellation to provide next-generation weather forecasting, pushing the company's valuation past $1 billion. This strong start to the year builds on a resilient 2024, when Israeli tech companies raised an estimated $12.2 billion, a 31% increase from 2023. That growth occurred despite the initial operational disruptions caused by the mobilization of tens of thousands of tech sector employees for military reserve duty. The continued flow of capital, particularly from foreign investors, signals a long-term confidence in the sector. In the first half of 2025, the share of funding rounds involving global investors increased to 69%, up from 61% in the latter half of 2024.