(JNS) While public sentiment toward Israel has grown increasingly hostile in parts of Europe, new figures suggest the continent is moving in the opposite direction economically.
Israeli technology companies are expanding their workforce, R&D presence and executive leadership across Europe, positioning Israel as a critical contributor to the EU’s future in cybersecurity, AI and defense-related innovation.
A new report by EIT Hub Israel, Planven VC and KPMG maps the growing footprint of Israeli technology companies across Europe and finds a story of deepening integration, resilience and long-term commitment. More than 1,600 Israeli tech companies now employ over 30,000 people across Europe, with a 4.8% annual growth rate over the past three years.
The gap between Europe’s political rhetoric toward Israel and its economic reality has rarely been more pronounced.
“The data highlights the significant presence of the Israeli technology ecosystem in Europe,” said Dina Pasca-Raz, partner and head of Technology at KPMG Israel. “However, the nature of this activity and the profile of these companies differ from the familiar model of a young startup initially targeting the US market.”
According to Pasca-Raz, around 60% of Israeli companies operating in Europe are mature businesses (8-12 years old) with proven models and senior executives based in the region. Importantly, she added, 31% of Israeli companies have senior executives (VP or C-suite) on the ground in Europe, rising to 71% among larger firms, signaling long-term confidence despite political and social headwinds.
The report highlights strong alignment between Israeli strengths in AI, cybersecurity, healthtech, defense and climate tech and EU strategic priorities for 2024–2029, particularly in security, sustainability and digital infrastructure.
Europe’s reliance on Israeli technology is not ideological; it is structural. Companies from the Startup Nation fill gaps in cybersecurity, defense, AI and infrastructure—all sectors where Europe seeks strategic autonomy without total dependence on the US or China.
In this sense, the growth outlined in the report shows that Israeli tech sits at the center of Europe’s economic and security mission for the coming years.
Today, it is clear Israeli companies have a significant presence in both EU and non-EU countries, with major hubs in Germany, Spain, France, the UK, Poland, and Ukraine. They also have growing operational centers in Central and Eastern Europe, including Romania, Bulgaria, Lithuania, and the Czech Republic. Notable Israeli tech companies with the biggest workforce footprints across Europe include SentinelOne, Wix, CyberArk, Check Point and Playtika.
“Israeli technology has become a significant economic and innovative force within Europe,” added Eden Dvir-Zano, Managing Director of EIT Hub Israel.
“The data demonstrate how deeply Israeli companies are embedding themselves in the European market. They are not only creating tens of thousands of jobs, but also establishing R&D centers, building long-term partnerships with universities and industry, and contributing directly to core areas Europe has defined as priorities—artificial intelligence, cybersecurity, climate technologies, and digital infrastructure.”
This deepening economic integration is unfolding against a worrying social backdrop. Even among these trends, there remain questions for many Jews and Israelis surrounding systemic antisemitism, which has only become more prominent since Oct. 7, 2023.
A recent survey from the Ministry for Diaspora Affairs and Combating Antisemitism shows there has been up to a 400% rise in antisemitic incidents in some regions since late 2023, and that 96% of Jews in Europe have encountered antisemitism in their daily lives.
Some of the political and social hostility toward Israel among the continent’s citizens appears to be happening alongside institutional and economic openness, creating a cognitive dissonance for those who wish to do business in Europe despite concerns for their personal safety.
“Despite geopolitical challenges and the sentiment we’ve seen over the past two years, there is a natural synergy between Israel’s strengths in AI, cybersecurity, robotics, and defense,” Pasca-Raz added. “We can hope that the end of the war will pave the way for the adoption of groundbreaking Israeli technologies and foster new, meaningful strategic collaborations.”
Looking ahead, the question for many Jews is not whether Israeli tech companies have a home in Europe, but whether Europe can afford to politicize sectors it relies on. Because the continent may protest Israel politically, but economically, it is building a future that increasingly relies on Israeli innovation: securing its networks, defending its borders, optimizing its infrastructure, and powering its AI ambitions.
“The data shows that Israeli startups are deepening their long-term presence in Europe,” concluded Elle Taitou Spruch, Investor at the Pan-European VC, Planven. “The alignment between Israel’s strengths in AI, cybersecurity, and health and Europe’s priorities is creating meaningful opportunities, and we expect Israeli activity on the continent to continue to accelerate in the years ahead.”
Want more news from Israel?
Click Here to sign up for our FREE daily email updates
