Israel Tech Daily

Thoma Bravo-owned Proofpoint agrees to buy Varonis for about $6.3 billion in cash, researchers say Israeli ad firm Discover-Tech helped deliver Candiru spyware, and Axonica Labs, Skapion and Zenzap raise money.

1. Proofpoint, owned by Thoma Bravo, agrees to buy Varonis for about $6.3 billion in cash - The $49.75 a share price is a 52% premium over the price before sale rumors began in June.
   Sources: Globes, CTech, Times of Israel, Bizportal
2. Researchers say Israeli ad firm Discover-Tech used online ads to track users and deliver Candiru spyware - Citizen Lab says 45 Al Jazeera devices were compromised; Discover-Tech did not respond.
   Sources: Reuters, The Economic Times, The SOFX Report
3. AI chip company Axonica Labs raises up to $80 million in a pre-seed round - Amplify Partners, Wing VC and Qualcomm Ventures lead; it has already raised $50 million.
   Sources: Globes
4. Skapion, building a system against drone swarms, raises a $36 million seed round - UP Partners and Khosla Ventures lead; Iron Dome veteran Pini Yungman is founding architect.
   Sources: CTech
5. Zenzap raises $44 million for a workspace where people and AI agents work together - Bessemer Venture Partners and Lightspeed Venture Partners led the round.
   Sources: Globes, Geektime
6. BloomX raises $13 million for robotic crop pollination
   Sources: CTech
7. Pilat Group plans to list in Canada through a reverse merger
   Sources: Globes
8. Gil Shwed says he does not see the economic models that justify AI spending at this scale
   Sources: CTech

What to watch: Whether US or European regulators open an investigation into Discover-Tech and Candiru, as Citizen Lab has asked them to.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-16-proofpoint-varonis-discover-tech-axonica

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

CrowdStrike is in advanced talks to buy Israeli data security startup Orion for about $500 million, Salesforce and Freshworks sign Israeli acquisitions, CVC takes 40% of Fibrotex, and Microsoft cuts jobs at its Israeli R&D center.

1. CrowdStrike is in advanced talks to buy Israeli data security startup Orion for about $500 million - Orion was founded in 2024 and has raised $38 million.
   Sources: CTech
2. Salesforce signs a deal to buy Israeli AI analytics company Loops, its tenth acquisition in Israel - CTech estimates the price at about $30 million; Loops will join Tableau.
   Sources: Globes, CTech, Maariv
3. Freshworks signs a deal to buy Torii, which tracks companies' software and AI spending - Terms were not disclosed; Torii has raised $65 million.
   Sources: CTech
4. CVC buys 40% of Petah Tikva camouflage maker Fibrotex - Calcalist puts the price at about $350 million; the FT at about 250 million euros.
   Sources: CTech, European Business Magazine
5. Microsoft calls about 50 Copilot Studio employees in Israel to pre-dismissal hearings - About half are expected to keep their jobs.
   Sources: Ynetnews
6. Bank Leumi and Aspire set up a joint trust company for employee shares and options
   Sources: CTech
7. Aliyah Ventures, a pre-seed fund for immigrant founders, completes its first close
   Sources: Ynetnews
8. Ondas and Palantir set up Regna AI to build AI models for defense and government customers
   Sources: CTech

What to watch: Whether CrowdStrike and Orion sign a deal, which Calcalist says is in advanced talks but not yet complete.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-13-crowdstrike-orion-salesforce-loops-torii

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

Amazon is reported to be in talks to buy Israeli-founded AI startup Decart for around $7 billion, a creditor asks for insolvency proceedings against HUB Security, One Zero lays off about 25 people, and Smotrich rejects a higher tax on stock options.

1. Amazon is in talks to buy Decart, an AI startup founded by three Israeli engineers, for around $7 billion - Anthropic had discussed buying Decart for about $6 billion before deciding against it in September.
   Sources: Bloomberg, TradingKey, Israel Hayom
2. A creditor asks the court to open insolvency proceedings against HUB Security - Consulting firm Asiag says HUB owes it close to $500,000.
   Sources: Globes
3. One Zero lays off about 25 employees in its third round of cuts since 2024 - The digital bank says AI and automation let it run with a leaner structure.
   Sources: CTech
4. DIG Ventures closes a $120 million third fund for enterprise and AI startups in Europe and Israel
   Sources: Pulse 2.0
5. Finance Minister Smotrich rejects a higher tax on high-tech employees' stock options - Globes says the recommendations target the 2027 Arrangements Law, which the next government will pass.
   Sources: Globes
6. Similarweb proposes a pay package of up to $10 million in shares for incoming CEO Michael Ackerman
   Sources: Globes
7. San Francisco AI insurance startup Corgi opens a business presence in Israel
   Sources: TheMarker
8. IAI unveils POINT@AIR, an aerostat-based radar, in Washington
   Sources: CTech
9. Maris-Tech receives a $10 million order, its largest ever, for airborne video systems
   Sources: Israel Defense

What to watch: Whether Amazon and Decart sign a deal, which the Wall Street Journal says could come quickly if talks hold.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-12-amazon-decart-hub-security-one-zero

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

Israel's Finance Ministry is examining a capital gains exemption for tech founders, Celsius founder Alex Mashinsky settles with New York's attorney general, Israeli cyber startups raise $2.4 billion in a quarter, and Israeli defense firms exhibit in Morocco.

1. The Finance Ministry examines a capital gains exemption of up to about NIS 45 million for tech founders - The ministry is also considering raising the tax on employee options under Section 102.
   Sources: Bizportal, TheMarker
2. Celsius founder Alex Mashinsky settles with New York's attorney general and accepts a lifetime industry ban - The settlement carries up to $35 million in conditional payments.
   Sources: Geektime, crypto.news
3. Israeli cyber startups raise at least $2.4 billion in the third quarter, nearly half the global total - About 20 of 26 disclosed Israeli rounds went to companies securing AI agents and machine identities.
   Sources: CTech
4. Israel opens its first national pavilion at the Marrakech Airshow as IAI reportedly negotiates a LORA sale - No contracts were announced at the show.
   Sources: CTech, Yabiladi
5. US Army fields the first Bradleys with Elbit's Iron Fist, while French cargo workers refuse an Elbit-bound shipment - Elbit declined to comment on the French shipment.
   Sources: CTech, CTech
6. Limy, which helps brands appear in AI answers, has raised $10 million from Andreessen Horowitz - Globes profiles founder Aviv Shmani.
   Sources: Globes
7. Chip startup Positron sets up a development operation in Israel - Positron was recently valued at $5 billion.
   Sources: TheMarker
8. Israeli app Fisherman filters spam and phishing texts, including election messages
   Sources: Geektime
9. Swaptix lets Israelis trade unwanted event tickets for platform credit
   Sources: Geektime

What to watch: How the Finance Ministry defines who qualifies for the founders' exemption, and whether it raises the tax on employees' stock options at the same time.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-11-treasury-founder-tax-mashinsky-cyber-funding

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

PCB Technologies agrees to buy Silicon Valley's Gorilla Circuits at a $120 million enterprise value, Rein Security raises $25 million to secure AI agents, HoneyBook and Silk cut jobs, and MonsterCloud's founder is charged in New York.

1. PCB Technologies agrees to buy Silicon Valley's Gorilla Circuits at a $120 million enterprise value - The deal needs CFIUS approval and is expected to close within eight months.
   Sources: CTech, PR Newswire
2. Rein Security raises $25 million Series A to secure the AI agents companies build - The round was co-led by Glilot Capital and Sienna Venture Capital.
   Sources: CTech, Geektime
3. HoneyBook lays off about 14% of staff, and Silk cuts about a quarter of its R&D team - Both companies link the cuts to AI; most of HoneyBook's affected employees are in Israel.
   Sources: CTech, Globes
4. MonsterCloud founder Zohar Pinhasi charged with wire fraud in New York - He pleaded not guilty and was released on $2 million bail.
   Sources: The Jerusalem Post
5. Finance Ministry report rejects an AI tax but proposes taxes on capital gains and digital services - The interim report was led by chief economist Dr. Samuel Abramzon.
   Sources: The Times of Israel
6. Phantom GI raises a $5 million seed round for a needle-based ostomy device - Pitango led the round, with RAD Biomed and RUNI Ventures.
   Sources: CTech, citybiz
7. Privacy regulator finds the Education Ministry broke the law over a leak of 21,000 special education students' data - The authority did not specify a fine.
   Sources: The Jerusalem Post
8. The Tel Aviv Stock Exchange examines buying the Cyprus Stock Exchange - The move is at an initial stage.
   Sources: Globes

What to watch: Whether US regulators at CFIUS clear PCB Technologies' purchase of Gorilla Circuits, the main condition for a deal expected to close within eight months.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-09-pcb-gorilla-circuits-rein-honeybook-silk

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

A2Z Cust2Mate completes its purchase of Israeli retail media firm Hedia, Silentium files to raise about $15 million on NYSE American, Link11 sues Reblaze's former owners, and Google settles two Israeli location-tracking class actions.

1. A2Z Cust2Mate completes its acquisition of Israeli retail media company Hedia - A2Z paid about $8.4 million in cash plus 833,333 shares, with up to about $6.7 million more tied to 2027 and 2028 targets.
   Sources: Pulse 2.0, Stock Titan
2. Silentium files to raise about $15 million in a NYSE American IPO - The Nes Ziona company's first-half 2026 revenue fell 44% to $1.5 million, and its prospectus carries a going concern note.
   Sources: Globes
3. Link11 sues the former shareholders of Reblaze, alleging misrepresentation in its 2024 acquisition - The sellers call the claim baseless; the case is in the Tel Aviv District Court.
   Sources: TheMarker
4. Google to pay about $2.6 million to settle two Israeli class actions over location tracking - The settlements include no admission of liability.
   Sources: CTech
5. At least 20 Israeli-founded startups compete to secure AI agents, with about $900 million raised - Nikesh Arora says about 40 companies are being funded in agentic security.
   Sources: CTech
6. Square Peg raises more than $1 billion across two new funds - The firm has had an office in Tel Aviv since 2014.
   Sources: Forbes Australia
7. Aqua Security founder Dror Davidoff joins Team8 as a managing partner - The appointment has not been officially announced.
   Sources: TheMarker
8. Oracle cuts another 70 jobs in Ireland while its Israel operation keeps hiring - Oracle lists 33 openings in Israel.
   Sources: CTech
9. Quantum Machines holds its Chicago conference over Israel's election day - The company says the event was planned before the election date was set.
   Sources: Calcalist
10. Messages posing as Google security alerts target Israeli users with fake support numbers - Some numbers use the 1-809 prefix, which can carry international call charges.
    Sources: Globes

What to watch: Silentium's IPO pricing, aimed at $6 to $8 a share, as a test of whether a small Israeli tech listing can get done on Wall Street now.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-08-a2z-hedia-silentium-ipo-link11-reblaze

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

Capitolis raises $220 million from Citi and other banks at a $1.9 billion valuation, Eon negotiates a round at $7.5 billion or more, BridgeWise examines a Tel Aviv listing, and Covenant opens a factory in Germany.

1. Capitolis raises $220 million in equity and debt at a $1.9 billion valuation, led by Citi - Last week Capitolis agreed to buy eSecLending for $200 million, and says the new money will help complete the deal.
   Sources: Globes, CTech, Calcalist, ice
2. Eon in talks to raise hundreds of millions of dollars at a valuation of at least $7.5 billion - Eon's last round, in December 2025, valued it at $4 billion.
   Sources: TheMarker
3. BridgeWise examines an IPO on the Tel Aviv Stock Exchange instead of an exit - The company says no final decision has been made.
   Sources: Globes
4. Covenant opens a factory in Leipzig to build long-range strike systems for NATO allies - Covenant aims to produce 5,000 missiles a year by 2028.
   Sources: CTech
5. NextVision shares fall after Fidelity's sale, and an investor questions the timing
   Sources: CTech
6. Palo Alto Networks, CrowdStrike and Fortinet hit record highs
   Sources: CTech
7. Unit 42 says Iranian-aligned hackers posed as Dubai Airports recruiters and targeted an Israeli entity
   Sources: CTech
8. Crypto trader arrested on suspicion of hiding tens of millions of dollars in trading
   Sources: CTech
9. HOT Group completes the sale of HOT Mobile at an enterprise value of about NIS 1.88 billion
   Sources: Israel Defense

What to watch: Whether BridgeWise goes ahead with a Tel Aviv IPO, a test of the local market as an alternative to an exit.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-07-capitolis-eon-bridgewise-covenant

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

Fidelity sells most of its NextVision stake for about $426 million, Advent's chairman on replacing Sapiens' management and 800 layoffs, high-tech pay falls 6.2% in July, and Revolut hires for an Israeli bank.

1. Fidelity sells most of its NextVision stake for about $426 million - Fidelity sold 5.7 million shares through Goldman Sachs and keeps about 3.1 million, under 5% of the drone camera maker.
   Sources: CTech, Bizportal
2. Advent's Mike Ettling on replacing Sapiens' management and laying off about 800 people - Advent bought Sapiens for $2.5 billion last December and delisted it in Tel Aviv and the US.
   Sources: CTech
3. Average high-tech pay falls 6.2% in July after months of double-digit growth - Central Bureau of Statistics figures also show high-tech jobs down 0.3% from a year earlier, at 397,300.
   Sources: CTech, Bizportal
4. Revolut hires for banking roles in Israel as it seeks a lean bank license - The licence would let Revolut offer deposit accounts and compete with the five banks that dominate Israeli banking.
   Sources: CTech
5. Remitly names Maya Roisman general manager of its Israeli operations - She succeeds Guy Kashtan, who founded Rewire, the startup Remitly bought in 2022.
   Sources: CTech, Calcalist
6. Nikesh Arora says Palo Alto Networks will not cut its roughly 6,000 engineers over AI
   Sources: CTech
7. Israeli startup Moonshot renames itself Shuttlebase after a clash with China's Moonshot AI
   Sources: Geektime
8. Hetz Ventures' Judah Taub publishes Moonshots for Israel
   Sources: PR Newswire

What to watch: Next month's Central Bureau of Statistics figures, which will show whether July's 6.2% fall in high-tech pay was one odd month or a trend.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-06-nextvision-fidelity-sapiens-revolut

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

A Tel Aviv court appoints a temporary trustee for OpenWeb, HiBob's UK filing shows $237 million in 2025 revenue, Israel's big defense companies wait on more than NIS 17 billion, and Qtrex Quantum jumps 40%.

1. A Tel Aviv court appoints a temporary trustee for OpenWeb, which owes about NIS 177.5 million - Last week the court put a temporary receiver over OpenWeb's Israeli assets at its lender's request.
   Sources: CTech, Calcalist
2. HiBob's UK filing shows $237 million in 2025 revenue, up 44%, with losses growing too - HiBob is registered in the UK and files annual accounts with Companies House.
   Sources: TheMarker
3. Israel's Defense Ministry owes Rafael, IAI and Elbit more than NIS 17 billion as exports hit a record - Israeli defense exports reached $19.2 billion in 2025, 36% of it to Europe.
   Sources: CTech
4. Qtrex Quantum, formerly Inspira Technologies, jumps 40% on a deal with an unnamed quantum computing company - The company changed its name and business from biomedical devices to quantum computing infrastructure in May.
   Sources: Globes
5. Deepcut reports alleged safety breaches after Pixellot cameras livestreamed a women's basketball game in Australia - Pixellot did not respond to Deepcut's questions.
   Sources: Deepcut
6. A Toronto mayoral campaign defends its use of the Israeli-made Victory App
   Sources: Toronto Sun
7. Simon Leviev, the convicted 'Tinder Swindler', says he will release a dating app called Safe Love
   Sources: New York Post
8. The merged Paramount and Warner Bros. Discovery will be called Skydance, with Ynon Kreiz as co-CEO
   Sources: The Forward

What to watch: The temporary trustee's first report on OpenWeb, due in court within ten days with recommendations on what happens next.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-05-openweb-trustee-hibob-defense-qtrex

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]

Palo Alto Networks becomes the first company worth over NIS 1 trillion on the Tel Aviv Stock Exchange, HyperGuest raises $25 million from Apax, Amnesty details Morocco's use of NSO's Pegasus, and Haredi women struggle to find tech jobs.

1. Palo Alto Networks becomes the first company worth over NIS 1 trillion on the Tel Aviv Stock Exchange - Palo Alto has traded in Tel Aviv since February 2026, after completing its $25 billion acquisition of CyberArk.
   Sources: CTech, Globes, Ynetnews, CTech
2. Hotel distribution company HyperGuest raises $25 million from Apax's mid-market arm - HyperGuest says it has processed more than $1 billion in transactions since it was founded in 2020.
   Sources: CTech, Techloy
3. Amnesty says Morocco's intelligence service used NSO's Pegasus against journalists and activists - The report relies on a former Moroccan intelligence employee, leaked records and journalistic investigations; Morocco denies using spyware on its citizens.
   Sources: Amnesty International, Africanews
4. Haredi women are over-represented among Israel's high-tech job seekers, an Employment Service report finds - About 70% of Haredi women looking for tech work are in software roles the report calls particularly exposed to AI.
   Sources: Calcalist
5. A SentinelOne AI engineer uses GPT-6 Astra to solve an 1809 Napoleonic cipher
   Sources: CTech
6. Indictment says an Israeli man consulted ChatGPT while allegedly carrying out tasks for an Iranian handler
   Sources: The Jerusalem Post
7. IAI and Elbit win $127 million in US Navy contracts
   Sources: CTech

What to watch: How much one company now moves the Tel Aviv Stock Exchange, with Palo Alto worth about a third of all the shares traded there.

Full transcript: https://www.startuptofollow.com/israel-tech-daily/2026-10-04-palo-alto-trillion-hyperguest-pegasus

Israel Tech Daily is written from the day's reporting and voiced by AI hosts. Corrections: [email protected]