How the war against Hamas has damaged Israeli tech companies and the economy
Israel's technology sector, a key part of the economy, has been rocked by labor shortages and funding fears, leading which could lead to a larger slowdown in 2024.
On October 7 at 6:45 a.m., Jack Bigio, the founder of technology company UBQ Materials, spoke to his director of operations, who said terrorists were in his kibbutz. Other employees sent text messages saying they were hiding in safe rooms, and one said her husband had been shot in the stomach.
"It was like the end of the world," Mr. Bigio said.
Hamas' attack on Israel forced UBQ Materials to close its factory, 20 miles from the Gaza border, and left its staff reeling. Two employees were murdered. Many lost their homes and were relocated 100 miles away.
Founded in 2012, UBQ Materials uses technology that transforms household waste into a substitute for used plastic to make tables, chairs and McDonald's. trays and automobile spare parts for Mercedes-Benz. The company was able to get up and running within three weeks, but many others face ongoing operating and financing problems.
About 23,000 Palestinians have been killed by Israel since October. 7, according to the Gaza Ministry of Health, which does not distinguish between civilian and combatant deaths. Around a million people evacuated from the north of the territory fled to the south. The band suffered widespread destruction, accompanied by famine; disruption of water, electricity and communications networks; and limited medical care as many hospitals suffered damage.
In Israel, Hamas attacks on October 7 killed 1,200 people and led to the seizure of Hundreds of hostages, including more than 100 who are still being held in Gaza, according to Israeli authorities. The war disrupted life, as hundreds of thousands of reserve troops were mobilized and 200,000 people were displaced from the northern and southern border areas.
In ways that are often less visible outside the country, the war has also harmed the Israeli economy. Tourism is virtually at a standstill and public spending has surged. The blow to tech companies has shaken confidence in a sector that has become a key driver of Israel's economy.
The call-up of 350,000 army reservists has disrupted the operations of many businesses. Many customer orders were suspended or canceled altogether, and investors became afraid, according to a survey conducted by the Israel Innovation Authority, a government-funded agency, and the Start-Up Nation Policy Institute. /p>
Israel's technology sector has grown rapidly over the past decade and accounts for nearly half of all exports and a fifth of economic output, the Israel Innovation Authority said.
< p class="css-at9mc1 evys1bk0">As a result, the Organization for Economic Cooperation and Development said, the war will cause a "temporary but pronounced...
Israel's technology sector, a key part of the economy, has been rocked by labor shortages and funding fears, leading which could lead to a larger slowdown in 2024.
On October 7 at 6:45 a.m., Jack Bigio, the founder of technology company UBQ Materials, spoke to his director of operations, who said terrorists were in his kibbutz. Other employees sent text messages saying they were hiding in safe rooms, and one said her husband had been shot in the stomach.
"It was like the end of the world," Mr. Bigio said.
Hamas' attack on Israel forced UBQ Materials to close its factory, 20 miles from the Gaza border, and left its staff reeling. Two employees were murdered. Many lost their homes and were relocated 100 miles away.
Founded in 2012, UBQ Materials uses technology that transforms household waste into a substitute for used plastic to make tables, chairs and McDonald's. trays and automobile spare parts for Mercedes-Benz. The company was able to get up and running within three weeks, but many others face ongoing operating and financing problems.
About 23,000 Palestinians have been killed by Israel since October. 7, according to the Gaza Ministry of Health, which does not distinguish between civilian and combatant deaths. Around a million people evacuated from the north of the territory fled to the south. The band suffered widespread destruction, accompanied by famine; disruption of water, electricity and communications networks; and limited medical care as many hospitals suffered damage.
In Israel, Hamas attacks on October 7 killed 1,200 people and led to the seizure of Hundreds of hostages, including more than 100 who are still being held in Gaza, according to Israeli authorities. The war disrupted life, as hundreds of thousands of reserve troops were mobilized and 200,000 people were displaced from the northern and southern border areas.
In ways that are often less visible outside the country, the war has also harmed the Israeli economy. Tourism is virtually at a standstill and public spending has surged. The blow to tech companies has shaken confidence in a sector that has become a key driver of Israel's economy.
The call-up of 350,000 army reservists has disrupted the operations of many businesses. Many customer orders were suspended or canceled altogether, and investors became afraid, according to a survey conducted by the Israel Innovation Authority, a government-funded agency, and the Start-Up Nation Policy Institute. /p>
Israel's technology sector has grown rapidly over the past decade and accounts for nearly half of all exports and a fifth of economic output, the Israel Innovation Authority said.
< p class="css-at9mc1 evys1bk0">As a result, the Organization for Economic Cooperation and Development said, the war will cause a "temporary but pronounced...What's Your Reaction?
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