In the first quarter of 2024, Israeli startups experienced a significant increase in capital raising, with a total of $1.6 billion raised, an increase of 10% from the previous quarter. This marks the first quarter since 2022 in which there has been an increase in capital rounds.
The positive trend for Israeli startups continued as the number of seed and first rounds of capital raising increased by 48% compared to the same period last year. Six companies managed to raise more than $100 million each during this period, indicating strong investment and growth potential.
Preliminary data from economic firm IVC suggests that the cyber security sector remained a major driver of funding for Israeli startups, accounting for more than 40% of all funds raised in the first quarter of 2024. The positive trend is likely to continue as investors continue to recognize the potential for innovation and growth in this sector.
Overall, the first quarter of 2024 was a strong start for Israeli startups, with a significant increase in capital raising and a positive trend in terms of investment and growth potential.