Jerusalem, December 29, 2025 – A new report from the Israel Advanced Technology Industries Association (IATI) highlights a growing concern in Israel’s vital high-tech sector: an increase in employee requests to relocate abroad following the two-year war against Hamas.
According to the IATI findings, 53% of multinational companies operating in Israel reported a surge in relocation demands from Israeli staff over the past year. This trend, particularly pronounced among senior executives and their families, stems from the prolonged conflict that began with Hamas’ October 7, 2023, attack and recently concluded with a U.S.-led ceasefire. Employees are increasingly applying for positions outside Israel, seeking stability amid ongoing geopolitical uncertainties.
Israel’s tech industry, often dubbed the “Startup Nation,” contributes approximately 20% to the country’s GDP, employs 15% of the workforce, and drives over half of its exports. Giants like Microsoft, Intel, Nvidia, Amazon, Meta, and Apple maintain significant operations here, drawn by the nation’s innovative talent pool.
War’s Lingering Impact on Operations and Investments
The report also warns of potential long-term damage from supply chain disruptions during the conflict. Some companies shifted activities abroad as temporary measures, and where these alternatives proved effective, there is a risk that operations may not fully return. IATI CEO Karin Mayer Rubinstein emphasized the sector’s resilience, noting that 57% of firms maintained stable activities and 21% even expanded during the war. “Even during the difficult war, the Israeli high-tech industry… once again proved its resilience,” she said.
However, without government intervention to ensure regulatory and geopolitical stability, the local ecosystem could face gradual erosion. The IATI calls for proactive measures to retain Israel’s appeal as a global tech hub. As the sector navigates post-war recovery, balancing talent retention with international confidence remains critical to sustaining technological leadership.