Summary:
$201 million raised by Israeli startups in August across 7 deals.
August marks a decline from previous months with no funding over $500 million.
Ongoing tensions in Israel impacted the funding landscape.
Notable investments include a $12 million round for a behavioral AI startup.
A fintech platform allows hospitals to receive advance payments for treatments.
Overview of August Funding
In August 2024, Israeli startups raised over $200 million across 7 deals, marking a significant drop from previous months, where local companies consistently raised over $500 million. This decline ends a streak of five consecutive months of robust funding, with local tech companies surpassing the $1 billion mark in both April and May, a milestone not achieved since August 2022.
Seasonal Trends in Funding
August is typically a slow month for tech funding, as many in the industry take holidays. This year, the situation was exacerbated by ongoing tensions in Israel, with the war in Gaza continuing and heightened concerns about potential attacks from Hezbollah and Iran.
Deal Activity
Following a peak of 28 deals in July, August saw a significant drop to just 7 deals, the lowest for 2024. Notably, SoftBank’s investment in Wiz, which was revealed in August, was not included in this count as it occurred several months prior.
Notable Funding Deals
Here’s a summary of some key funding rounds announced in August:
- 27.8.24: Israel's multi-million initiative aimed at attracting top global AI talent has commenced.
- A startup utilizing behavioral AI to enhance Shopify browsing experiences raised $12 million in Seed funding, building on an earlier $6 million round.
- A cyber company developed a hardware asset risk management platform based on device existence.
- Another startup reported $765 billion in cumulative trading volume, with $25 billion in loans and $35 million in incentives.
- A fintech platform enabling hospitals to receive advance payments for medical invoices was highlighted, facilitating interest-free payment plans for patients.
- An innovative startup working on an all-optical supercomputer was selected for an accelerator program due to its energy efficiency.
- A cyber company, after rejecting a $23 billion offer from Google, is expanding its workforce in Asia and establishing a new data center in Sydney.
- A foot traffic analytics platform saw a 50% increase in valuation after tripling its ARR and quadrupling its customer base.
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