In 2024, Israel’s high-tech sector demonstrated resilience, achieving $12 billion in funding—a 27% increase despite regional challenges. The shift from startups to scale-ups was marked by 15 mega-rounds totaling $4 billion, while the tech industry’s GDP grew by 2.2%, even as the overall economy contracted. Israel maintained its leadership in cybersecurity, securing over 40% of U.S. investments in the sector. Challenges remain, including a decline in new startup formation and geopolitical instability. Experts anticipate continued growth in private funding and M&A activity, highlighting the importance of government support for sustained innovation and competitiveness.