Leading defense industry figures convened on Thursday at the Elron Ventures Defense Tech Breakfast, a high-level summit that brought together the “holy triangle” of the sector – military, industry, and finance – to discuss the future of deep tech and their roles in shaping Israel’s strategic edge.
Hosted at the Shibolet and Co. law offices in Tel Aviv, the event showcased how defense tech is evolving into a central growth engine for the economy and is becoming a pillar of its technological superiority on the global stage.
Modern warfare turning point
Dr. Yuval Steinitz, the chair of Rafael Advanced Defense Systems, spoke of Operation Rising Lion, Israel’s recent war with Iran, which, he said, had marked a historic shift.
“For the first time in human history, a military outcome was determined almost entirely by technological and scientific superiority,” he said.
“Real-time intelligence, precision sensors, artificial intelligence, and advanced tracking systems enabled Israel to neutralize threats remotely, without ground combat,” he told those gathered.
Steinitz said that Russia's, China's, and Iran’s trend of relying on “good enough” systems – utilizing cheaper, mass-produced platforms – was outdated.
“Quantity was defeated by quality, and precision overcame mass,” he said.
Looking ahead, Steinitz pointed to Rafael’s Or Eitan laser system, due to be delivered to the IDF in the coming weeks.
The technology, he said, would revolutionize air defense by enabling ultra-fast, low-cost interceptions.
“Throughout history, wars were fought by launching something toward the enemy – from rocks to rockets. With the laser system, aerial threats to Israel could become irrelevant, as a single beam of light will clear the skies,” Steinitz noted.
Hypersonics and the first space battle
A panel led by Elron Ventures CEO Yaniv Schneider, along with Aeronautics CEO Dan Slasky, MoonShot founder Shahar Bahiri, and a representative from the Directorate of Defense Research and Development (MAFAT), highlighted future developments in defense tech and deep tech, with hypersonic technologies as an upcoming critical frontier.
Israel Aerospace Industries’ Arrow 3 system’s interception of missiles outside the atmosphere during Operation Rising Lion was described by participants as the “first space battle in history,” a milestone that opened the door to a new and complex arena of satellite defense and space system strikes, to name a few.
“Defense tech is moving from the lab to the field and from the military to the market,” Schneider said.
“This is a global trend that Israel is leading, thanks to a rare combination of technology, operational experience, and first-class human capital,” he added.
“The defense tech sector is reclaiming its central role. The new era of warfare restores the importance of technological superiority, and Elron is positioned at the crossroads of nurturing industry and encouraging an entrepreneurial ecosystem,” Schneider continued.
‘The money is there’
On a finance-focused panel moderated by Einat Weidberg, Elron’s board chairperson, Lisya Bahar-Manoah, and Goldman Sachs senior executive Alain Benarous discussed the investment landscape.
Weidberg said that the IPO and exit market would determine whether defense start-ups remain purely military-focused or must prove dual-use viability for civilian markets.
Bahar-Manoah noted that defense tech has become one of the hottest sectors globally, with venture capital growing by 33%.
“There is currently a huge hype around deep tech,” she said, adding that “the money is there” but stressing that investors must carefully target areas where innovation can deliver strategic battlefield advantages.
Aligning capital with operational needs is essential, she added. “Only when investors, defense innovation, and military requirements are connected can technological superiority translate into strategic superiority.”
Building the ecosystem
Defense tech is quickly becoming a strategic growth engine for the Jewish state and an integral part of its technological superiority on the global stage.
Throughout the summit, speakers said that Israel has a unique combination of cutting-edge technology, operational experience, financial capital, and human talent that has positioned it as a leader in the global defense tech revolution.
Describing the military-industry-finance triangle as the key to preserving Israel’s edge, Bahar-Manoah said, “Our evergreen fund, rooted in decades of research and investment, alongside Rafael and Arieli Group’s strong US network, enables us to mature Israeli defense innovations into global realities.”