As industry 4.0 grows with the current digitalization trend in the manufacturing unit. Industries are seeking for countries to form strong, reliable, and transformative partnerships in different countries.
Israel is one such country and especially in the automotive sector. The reasons are due to its availability of robust technical capabilities in cybersecurity, operations optimization, platforms and connectivity, sensing and imaging, supply chain, maintenance, additive manufacturing, inspection, and testing.
Israel is the 2nd country with the highest number of industry 4.0 startups. It got more than 240 industry 4.0 startups. The financial accessibility for funding opportunities. Around US$68.5 million was invested from 2017 to 2021. In 2018, more than US$6 billion were investments by venture capitalists (VC).
As per Organisation for Economic Cooperation and Development in 2018, startups contributed 4.94% of their GDP to the R&D sector. The country is becoming startup hubs in cloud computing, 3D printing, predictive sensing, the internet of things, augmented and virtual reality, and also to other Industry 4.0 technologies.
The major automotive companies partnered with Israeli startups or even customers are Ford, Volkswagen, Porsche, Faurecia, and Lear Corporation. Intel bought Mobileye for US$ 15.3 billion and Google acquired Waze for more than US $1 billion.
The different ways companies are exploiting the Israeli startup opportunities. Porsche developed a local partner presence by establishing Porsche Digital Lab in Tel Aviv for scouting and interacting with cutting-edge Israeli startups.
Israeli startups such as Claroty, 3D Signals, and Inspekto started working on various pilot projects for many automotive companies. It is also interesting to see, that how Israeli startups are engaging with automotive companies by solving various challenges and addressing the core issues.
Source:- Deloitte