The USA Needs Israel as Much as Israel Needs the USA

1. Four Israeli universities are included among the top 30 computer science universities in the world (US – 20 universities, Canada – 2, UK – 2, Switzerland – 1, Hong Kong – 1), according to the Academic Ranking of World Universities (ARWU), commonly known as the Shanghai ranking, a publication compiled by the Shanghai Jiaotong University – one of the three most influential rankings.

2. George Gilder, Chairman of the Great Barrington, MA-based Gilder Fund Management and Gilder Cremers Fund, author of “The Israel Test”: “Israel cruised through the recent global slump with scarcely a down quarter and no deficit or stimulus package…in an array of leading-edge technologies. It is the global master of microchip design, network algorithms and medical instruments… Israel is incontestably the world leader in water recycling and desalinization… Israel is also making major advances in longer-range missile defense, robotic warfare, and unmanned aerial vehicles that can stay aloft for days… It raised its exports 19.9% in 2010’s fourth quarter and 27.3% in the first quarter of 2011. Israelis supply Intel with many of its advanced microprocessors, from the Pentium and Sandbridge, to the Atom and Centrino. Israeli companies endow Cisco with new core router designs and real-time programmable network processors for its next-generation systems. They supply Apple with robust miniaturized solid state memory systems for its iPhones, iPods and iPads, and Microsoft with critical user interface designs for the OS7 product line and the Kinect gaming motion-sensor interface, the fastest rising consumer electronic product in history…

U.S. defense and prosperity increasingly depend on the ever-growing economic and technological power of Israel. If we stand together we can deter or defeat any foe… We need Israel as much as it needs us (Wall Street Journal, July 5, 2011).

3. The $1.25BN West Lake Village, CA-based ValueClick acquired Israel’s Dotomi for $295MN (Globes, Aug. 4). The $2.5BN Boston-based Great Hill Partners acquired Israel’s Plimus for $115MN (Globes, Aug. 9).

4. The Baltimore-based JMI Equity, Bloomberg Capital, the San Francisco-based First Round Capital, ComCast’s VC fund, Genacast and the Menlo Park-based Institutional Venture Partners participated in a $33MN 3^rd round of private placement by Israel’s DoubleVerify (Globes, August 31). Denmark’s Saxo Bank acquired 25% of Israel’s online broker’s solutions company, Leverate, for $12.5MN (Globes, July 29). Japan’s Fujitso Fund and FinTech Fund participated in a $12MN round by Israel’s Asocs. Additional investors are expected to follow George Gilder’s Gilder Cremers, which participated in the previous round (Globes, August 31). The Palo Alto-based Greylock Ventures and the Menlo Park-based Opus Capital participated in a 2^nd round by Israel’s Wanova (Globes, Aug. 24). The Menlo Park-based Sequoia Capital and Deutsche Telekom’s T-Venture led a $9.5MN 3^rd round by Israel’s Innovid (Globes, August 31). The Menlo Park US Venture Partners, Santa Clara-based Webb Investment, San Francisco-based WI Harper and Google’s Chairman Eric Schmidt’s Innovation Endeavors invested $4MN in Israel’s Quixey. Schmidt also invested in Israel’s Gogo-Boots, EyeView and AnyDo (Globes, August 30). Johnson & Johnson invested a few million dollars in a 3^rd round by Israel’s LifeBond (Globes, Aug. 9). The Munich-based Atlantic Capital Partners invested $2.2MN in the 2^nd round of Israel’s GreenSql (Globes, August 11).

Straight from the Jerusalem Boardroom #248
https://bit.ly/3u29k9g

Foreign investment in Israel’s high-tech companies surged to new heights in the 1^st quarter of 2021 – $5.7bn in 172 deals – which is up 89% over the impressive 4^th quarter of 2020 and double the volume of the 1^st quarter of 2020.

2020 was the first year of surpassing $10bn in capital raised by the Israeli high-tech sector from investors in the US, Asia and Europe, who trust the maturity of Israel’s brain power. Investments in Israeli companies more than tripled in six years, reflecting the effective response by Israeli startups to the technological, medical, pharmaceutical, educational, social and digital challenges posed by Covid-19.

Israel’s economic performance in defiance of Covid-19 is presented by Dr. Adam Reuter, the Chairman and Founder of “Financial Immunities,” Israel’s largest financial-risk management firm, and the co-author of Israel – Island of Success:

Israel has led the globe in the rapid administration of Covid-19 vaccinations due to effective negotiations with Pfizer and an efficient, country-wide medical infrastructure.
Israel is the second lowest among OECD countries in the number of Covid-19 deaths per number of Covid-19 cases: 0.7% compared to the 2.3% OECD average. Israel features a young population (median age of 30 compared to the OECD’s 42) and an effective country-wide medical infrastructure, including top level HMOs and hospitals.
Israel is ranked 12^th from the bottom among the 37 OECD countries in the number of deaths per million inhabitants: 645 compared to 1,145 OECD average.
The International Monetary Fund’s 2025 GDP growth forecast for OECD countries: Israel – 4%, OECD average – 2.2%, US – 1.8%, Australia – 2.5%, Ireland – 2.6%, France and Canada – 1.7%, the UK – 1.6%, Germany – 1.2%, etc.
Israel’s 2020 GDP was reduced by 2.5%, compared to the OECD average reduction of 4.1%, South Korea – 1%, Norway – 0.8%, Australia – 2.6%, US – 3.5%, Japan – 4.8%, Germany – 5%, France – 8%, the UK – 10% reduction, etc. GDP growth was recorded in New Zealand – 2.4% and Ireland – 3.5%.
In 2020, Israel was ranked 20^th among the 37 members of the OECD in terms of GDP per capita, featuring $43,000 (GDP – $408bn), ahead of Japan, Italy and Spain, and very close behind the UK ($44,000) and France ($45,000).
Israel’s debt-to-GDP ratio increased from 60% in 2019 to 72% in 2020, compared to the OECD’s average increase from 66% to 82%. The 2020’s debt-to-GDP ratio was 266% in Japan, Italy – 161%, the US – 131%, Germany – 73%, etc.
Israel’s foreign exchange reserves-to-GDP ratio of 41% (3^rd among the OECD countries) attests to its financial stability, and Israel’s capability to raise foreign credit promptly in a cost-effective manner. Israel’s foreign exchange reserves in March 2021 – $186bn.
During the past decade, Standard and Poor (S&P) accorded Israel a positive credit rating trend, unlike the negative trend for the G-7 countries. In 2020, notwithstanding Covid-19, Israel’s credit rating (S&P) remained at AA.
Some 380 global high-tech giants operate in Israel, including Microsoft, Amazon, IBM, Intel, Cisco, Apple, Verizon, Applied Materials, Dell, HP, Kodak, Oracle, Philips, SAP, Medtronics, GM, eBay, GE, etc. Israel leads the world in the ratio of research and development investment to GDP: 4.9%. 85% of this investment comes from the business sector.

Recent Articles

Search

The USA Needs Israel as Much as Israel Needs the USA

The post-1967 turning point of US-Israel cooperation

Israeli benefits to the US taxpayer exceed US foreign aid to Israel

Iran - A Clear And Present Danger To The USA

Exposing the myth of the Arab demographic time bomb

Israel’s Covid-19 Economic Trends

The post-1967 turning point of US-Israel cooperation

Israeli benefits to the US taxpayer exceed US foreign aid to Israel

Iran - A Clear And Present Danger To The USA

Exposing the myth of the Arab demographic time bomb