Israel: 1st non-European President of R&D Eureka

Straight from the Jerusalem Boardroom #144, July 16, 2010


1.  The Bio-Jerusalem Initiative has been established, in order to transform Jerusalem into the capital of Israel’s bio-med.  43% of Israel’s bio-med research is conducted in Jerusalem. 12% of Jerusalem’s workforce is engaged in bio-med and healthcare. Jerusalem’s Hebrew University is ranked 12th in the number of bio-med patents.  Hebrew U Ph.D. candidates in the areas of biology, medicine, pharmacology and chemistry constitute an exceptional potential for Jerusalem’s bio-med industries. The School of Pharmacology focuses on pharmaceutical development. Jerusalem’s BioLine incubator is bio-technology-oriented, receiving a $1.5MN grant from Israel’s chief-scientist, compared with $600,000 granted to other incubators.  Jerusalem’s Van Lear Incubator is top heavy on medical devices start-ups.  Hadassah Hospital established a center for clinical trials.  130 bio-med companies operate in Jerusalem (e.g. Teva, Medinol and Brainsway), which account to 35% of the total bio-med companies operating in Israel, second only to Rehovot.  During the last 3 years, the number of bio-med companies – in Jerusalem – grew by 27% and the number of bio-med workers grew by 40%.   


2.  Microsoft’s CEO, Steve Balmer: “Microsoft is as much an Israeli company as an American company, because of the importance of its Israeli technologies (Wall St. Journal, Nov. 23m 2009). Microsoft’s Israeli acquisitions: Gteko (2006 - $120MN), Kidaro (2008 - $100MN), Whale (2006 - $76MN), Peach (2000 - $72MN), Zoomix (2008 - $30MN), YaData (2008 - $25MN), Olap Technologies (1996 - $20MN), MaxiMal (2001 - $20MN), Felican (2003 – $800,000), WebPoint – unavailable, Secured Dimension – unavailable) – Globes, June 29, 2010.


3.  The US-Israel Bi-national R&D (BIRD) Foundation has sponsored over 800 joint US-Israel projects, which yielded more than $8BN in sales for the beneficiary companies.  The matching-funds Foundation considers an expansion of $30MN by each country (Globes, June 18).


4.  Israel is the first non-European country to be elected as the President of Eureka (July 2010), the leading industrial inter-governmental European R&D program and the largest of its kind in the world. The share of Israeli companies in Eureka projects has exceeded 10%, far beyond the size of Israel’s economy.   


5.  Israel’s Vringo raised $11MN on AMEX, which is owned by the NYSE (Globes, June 25).


6.  The Santa Clara-based Atheros is leading – along with Sequoia Capital, Benchmark Capital and Tallwood Venture Capital - a $20MN  3rd round of private placement by Israel’s Wilocity (Globes, July 15).  Sequoia Capital co-led a $6MN 2nd round by Israel’s Snaptu (Globes, June 24).