Israeli Tech Funding Hits 2-Year High

Despite the escalating regional conflict, Israeli tech startups raised $775 million in February. This marks the sector's best fundraising month since 2022, signaling strong investor confidence in the country's innovation ecosystem. Cybersecurity, AI, and fintech companies led the surge.

The largest investment in February went to Tomorrow.io, a weather intelligence platform, which secured $175 million to build out its satellite constellation for AI-driven global forecasting. This funding round, led by Stonecourt Capital and HarbourVest, pushed the company's valuation to over $1 billion. Cybersecurity firm Vega followed with a $120 million Series B round led by Accel, achieving an $800 million valuation just months after its last funding announcement. The company's AI-Native Security Analytics Mesh platform is designed to overhaul security operations centers by improving threat visibility, detection, and response without centralizing data. Multiple other cybersecurity startups also drew significant capital. Gambit Security, founded by veterans of the IDF's Unit 8200, raised $56 million to help companies map their infrastructure and ensure operational recovery after cyberattacks. Astelia, a startup launched by former Israeli military cyber commanders, secured $25 million to help pinpoint critical risks among millions of vulnerabilities. The theme of AI-driven security and data management was prominent across several other key funding rounds. Orion raised $32 million for its AI platform that aims to prevent data leaks, while Reco secured $30 million to address security risks from enterprise adoption of AI software. Venice raised $25 million to replace static access permissions with dynamic, real-time controls for both human and AI identities. Further investment in AI infrastructure and data management included a $50 million Series B for Guidde, a platform that uses AI to create training documentation for enterprise software. Matia raised $21 million to build AI-friendly data infrastructure, and Solid secured $20 million to help AI systems reliably understand enterprise data.

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