Israel Medica2010 Companies Catalogue - Israeli-South African ...

Israel: Life Science Powerhouse
Israeli physicians, scientists, researchers and engineers have propelled the country's Medical Device industry to the
leading edge of innovation and creativity, spanning all fields of medicine.
Quick facts:
• Israel is considered to be the second largest supplier of Medical Device solutions worldwide.
• Israel ranks #1 in Medical Device patents per capita (#4 in absolute figures).
• There are over 1,100 life science companies in Israel; 65% of them are Medical Device firms.
Several global medical corporations have found Israeli companies to be attractive business partners. Israeli
companies have proven their excellence in R&D, and in implementing breakthrough technologies in the Medical
Device industry. Some of the leading multinationals holding equity positions in Israel include GE Medical, Philips,
Siemens, Boston Scientific, Johnson & Johnson, and Medtronic.
A strong entrepreneurial spirit pervades Israeli society. Perhaps fueled by a young country’s need to develop
creative solutions quickly and cost-effectively, or inspired by improvisation and calculated risk-taking, it seems that
innovation is an Israeli way of life.
• Israel’s 16 Technology Transfer Organizations (TTOs) showcase the creative fusion between universities,
hospital systems, businesses and the military. All of the TTOs are dedicated to encouraging and promoting
research projects and military technology from the lab to the world market.
• Healthcare is a priority in a well-educated country. Israel spends 8% of its GDP on healthcare. It boasts a very
high level of healthcare and an extensive infrastructure of quality resources that range from local community
clinics to world-renowned trauma centers. The country has a high ratio of MDs to population (3.5 per 1,000).
The country’s entrepreneurial spirit runs through this sector as well: Many Israeli physicians are both early
adopters of new technologies and developers of original technologies in their own right.
• Israel has a highly skilled workforce. The country has the greatest number of scientists and engineers per
capita in the world; 24% of the workforce have academic degrees.
• The defense community nurtures the life science industry. Extensive investment in developing state-of-the-art
technologies for defense has proved fertile ground for advanced life science applications. Two very wellknown
innovations emerged from Rafael Advanced Defense Systems: PillCam TM , a video capsule endoscope
(developed by Given Imaging), and cryotherapy for the treatment of cancer (developed by Galil Medical).
• Strong institutional incentives support the development of new technologies. The 23 government-licensed
technological incubators, which began in the 1990s as a way to provide employment opportunities for new
immigrant scientists and engineers (many from the former Soviet Union), has evolved as a successful
framework for advancing and commercializing early-stage life science technologies. In fact, in 2008,
approximately 38% of the 1,175 incubator graduate companies continued beyond the incubator stage to
function as mature companies.
Nearly half of Israel’s technological incubators focus on the life sciences or biotechnology. At the end of 2008,
41% of all incubated companies were involved in medical devices, and 18% in biotechnology. Of the $360
million in grant money awarded to incubator companies by Israel’s Office of the Chief Scientist in 2008, 25.4%
went to those involved in the life sciences.
• The world’s venture capital community keeps its focus on Israel. In 2008, about 80 Israeli and international VC
companies targeted specific investment efforts on Israel. Of these, nine are focused solely on life sciences.
For more information:
Ms. Angelica Khachaturov, Business Development Manger – Medical Device & Healthcare IT, Israel Export &
International Cooperation Institute | Tel: +972-3-514-2986 | Fax: +972-3-514-2881 | angelica@export.gov.il
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