Israel’s tech sector is experiencing a major comeback.

After a few challenging years, the first half of 2025 marked the strongest six months for the tech sector since the 2021 boom, with startups raising a remarkable $9.3 billion in private funding, a 54% jump from late 2024.

The growth is due to fewer but much larger investments. While the number of deals fell from 214 to 151 in the second quarter, big funding rounds more than compensated for the number of investors.