Modern server infrastructure in a data center.
Israeli Cybersecurity Investment Reaches Record $8.27 Billion in 2025
Israeli cybersecurity investment achieved an unprecedented record of $8.27 billion in 2025. This significant sum nearly doubled the previous year’s total. The growth highlights the sector’s robust expansion and its crucial role in the broader tech economy, according to a report by Cybertech Global and research firm IVC.
What Happened: Record Funding and Soaring Exits
The Israeli cybersecurity sector secured $8.27 billion in funding during 2025. This figure represents a substantial increase from the $3.96 billion raised in 2024. It also surpassed the previous record of $7.5 billion set in 2021.
In parallel, Israel tech exits saw a dramatic surge. Exit values reached an estimated $72.6 billion, largely driven by pending deals involving Wiz, CyberArk, and Armis. Without these three major deals, the exit value stood at $2 billion, yet the number of exits still grew from 27 to 32.
Details From Sources: Investment Trends and Company Landscape
The number of investment deals remained stable, with 138 deals in 2025 compared to 136 in 2024. However, the average funding per deal significantly increased. It rose from $29 million in 2024 to $60 million in 2025.
Investors are now concentrating larger sums into Series A and B stages. Seed funding rounds decreased from 71 in 2024 to 63 in 2025. Series A funding more than doubled to $1.1 billion across 37 deals, up from 28 deals previously. Series B funding also grew substantially, reaching over $1 billion across 22 deals, an increase from 14 deals.
Later-stage rounds collectively accounted for $5.43 billion in capital. Conversely, Series C activity saw a decline, with only three deals in 2025 compared to seven in the prior year. Israel hosts 597 active cybersecurity companies in 2025, an increase from 546 in 2024. Among these, 185 are mid-sized and 90 are large firms. Approximately 93% of these companies focus on software and enterprise infrastructure rather than hardware or semiconductors. All this data is attributed to Cybertech Global and research firm IVC.
Industry Reactions: Insights from Cybertech Founder
Amir Rapaport, founder of Cybertech, commented on the sector’s performance. He stated that Israeli cybersecurity shows “the sky is the limit” and has set “a new standard for exits and capital raising.” He also noted that the sector attracts “the majority of foreign investment in Israel.” These remarks were reported by ynetnews.com.
Background Context: Cybertech Global Tel Aviv 2026
Cybertech Global Tel Aviv is scheduled to take place from January 26–28 at Expo Tel Aviv. This major cybersecurity event is held in partnership with various government entities, including the National Cyber Directorate, the Ministry of Foreign Affairs, and the Ministry of Economy and Industry. Ben-Gurion University of the Negev is also a partner.
The event expects participation from 50 countries. Notable speakers and topics will cover global cyber challenges and emerging technologies. Cybertech Global Tel Aviv is also included in Tel Aviv Tech Week, in collaboration with Sparks.
Future Implications
(Speculative) The sustained growth in Israeli cybersecurity investment and the upcoming Cybertech Global event suggest potential for continued expansion. This trend may foster further international collaboration and innovation within the sector.
Conclusion
The Israeli cybersecurity investment landscape experienced significant growth and record-breaking exits in 2025. This performance solidifies its position as a vital engine for the high-tech sector. The consistent influx of capital and strategic exits underscore Israel’s enduring strength in global cybersecurity.
FAQ Section
- What was the total Israeli cybersecurity investment in 2025?
Israeli cybersecurity firms raised a record $8.27 billion in 2025, according to Cybertech Global and IVC.
- How did Israeli cybersecurity exits perform in 2025?
Exit values surged to an estimated $72.6 billion. This was largely due to three major pending deals involving Wiz, CyberArk, and Armis.
- What types of cybersecurity companies are most common in Israel?
Approximately 93% of Israeli cybersecurity companies focus on software and enterprise infrastructure. Most active firms are small.
- Who published the report on Israeli cybersecurity performance?
The data was released by Cybertech Global and research firm IVC.
- What is Cybertech Global Tel Aviv?
Cybertech Global Tel Aviv is one of the world’s largest cybersecurity events. It will take place from January 26–28 at Expo Tel Aviv, featuring lectures, panels, and exhibitions.
