Israel Approves 30 Million Shekels for Digital Health Innovation Pilots

Two months after the Israeli government approved a one-billion-shekel national digital health program as a means of improving public health and as an engine of growth for the economy, the Digital Israel Initiative at the Israeli Ministry for Social Equality, the Israeli Health Ministry, and the Israel Innovation Authority have announced the launch of a new pilot program to be carried out in healthcare organizations across Israel. The new program will support research and development proposals and pilot facilities in the field of digital health. These pilots will be carried out in Israeli healthcare organizations or will be based on these organizations’ capabilities and data.



The program is intended for Israeli tech companies (not including any of the healthcare organizations in Israel) in the field of medicine and health. The companies accepted to the program will receive between 20% to 50% of approved R&D expenditures, with funding of up to 60% to 75% for proposals that show potential to significantly advance the public healthcare system in Israel and around the world, or that promise a breakthrough in their field.

The program will enable participating companies to significantly advance commercialization of their product. Implementation in test sites will also help facilitate go-to-market strategies. The program will help offset risks involved in R&D, without a stake in future profits. Companies will return their grants to the Israel Innovation Authority via royalties from sales only if an initiative has been commercialized.

Israeli Minister for Social Equality Gila Gamliel, who initiated the national Digital Health Program said, “Just two months after the government resolution I led promoting digital health was passed, the launch of this pilot program illustrates our commitment along with our partners to a quick and full implementation of the government resolution. The national digital health program is revolutionary and groundbreaking, and will position Israel as a superpower in digital health, with healthcare services among the most advanced anywhere in the world.”

Israeli Minister of Economy and Industry, Eli Cohen said, “Healthcare companies often need access to information and systems which are not normally available to growing companies to prove the viability of their technology. This program will make it easier for companies to have access to information not currently available to them and will help build a bridge between them and Israeli healthcare institutions.”

The Digital Health Initiative will help promote innovation and the implementation of advanced solutions in Israeli healthcare organizations in an effort to improve medical treatment and healthcare services for patients and provide solutions to challenges faced by the healthcare system with solutions such as individualized medicine, preventative healthcare, tele-care, decision-support systems, digital medical devices, solutions for patient empowerment, and others.

Submission Criteria:

1.    Level of technological innovation and uniqueness of a pilot.

2.    Level of difficulty and technological challenge.

3.    A company’s capabilities including management’s ability to lead a program to commercial success.

4.    The economic-business growth potential of a company if the pilot succeeds.

5.    The overall technological and vocational potential for the Israeli economy.

6.    The overall effect a project can have on improving and streamlining the healthcare system in Israel.

7.    Quality of the pilot program – including the level of the test site and the synergy between the company and the site.

8.    The pilot program’s potential benefits to the company itself in terms of its go-to-market and commercialization strategies.

Chief Scientist of the Israel Ministry of Economy and Industry and Chairman of the Israel Innovation Authority, Dr. Ami Appelbaum said, “The board of directors of the Israel Innovation Authority has approved this program to support innovation in companies, in cooperation with the Ministry of Health and Digital Israel. Operating programs and pilots in real-time environments with adapted regulation will allow Israeli technology companies to offer proof of concept and quickly penetrate markets, thus helping them grow into large-scale companies in Israel. In addition, the commercialization of innovative technologies in Israel will improve the local market and the government’s regulatory capabilities and will help government entities propel tech companies from idea to commercialization. The goals of the program include developing and implementing innovative technologies in the fields of healthcare and medicine and examining their viability among relevant clients, promoting the healthcare system and public health in Israel and around the world, and creating and growing viable companies in the field of digital health in Israel through innovative technological solutions.”

CEO of the Israel Innovation Authority, Aharon Aharon said, “The goal of this unique program is to offer coordinated solutions from the Israel Innovation Authority and Ministry of Health for pain points we have identified in growing innovation ecosystems, especially those with heavy regulation and government involvement. These include the challenges associated with raising funds related to high levels of risk and difficulty, or with market obstacles or limitations stemming from the lack of access to testing facilities or difficulty receiving necessary regulatory permits.”

Director General of the Israeli Ministry of Health, Moshe Bar Siman Tov said, “The State of Israel has over the years developed a healthcare system amongst the finest in the world, based on outstanding public healthcare services offered to the citizens of Israel. We and our government partners launched the national digital health program this year to serve as an engine of growth in order to continue to develop our healthcare services and to position Israel at the forefront of digital health worldwide. As part of this nationwide program, the government is launching this pilot program to promote investment in research and development in a range of innovative healthcare technologies. The program will make it easier for healthcare organizations to work with companies in the industry and will leverage the expertise of medical teams with innovative Israeli technologies to improve health services in Israel.”

Israel Preparing to Lead in Global Smart Mobility

New pilot program intended to promote companies that will impact the state of transportation in Israel and the world

The goal of Israel’s new pilot program in transportation is to help promote companies aimed at improving transportation and to develop Israel’s hi-tech industry through technological innovation in the field of traffic systems and transportation infrastructure.

Technological spheres within the pilot program include, among others: autonomous vehicles, electric vehicles, connected vehicles, ridesharing and carpooling models, monitoring technologies and processing of traffic data, innovative methods of operating transportation services, reducing traffic congestion and collisions, minimizing the use of oil and encouraging use of public transportation.

Other goals of the program include:

  • Developing and implementing innovative technologies and paradigms that will improve the state of transportation and develop Israel’s world-leading innovation industry.
  • Making transportation systems more efficient in Israel and around the world.
  • Creating and growing sustainable companies in the field of transportation through the promotion of innovative technological solutions.

Israeli Minister of Transportation and Minister of Intelligence, Yisrael Katz, noted that:

“Creating pilot programs in an environment simulating real-world transportation conditions will allow Israeli startups to develop rapidly and penetrate markets more quickly. In addition, the project will improve the government’s regulatory capabilities and its ability to adapt to rapid developments. The Transportation Ministry will continue to spearhead the effort to make the State of Israel a hub of innovation for the future of transportation and smart technology. Technology is progressing by leaps and bounds, and it is our governmental duty to guide these advances from a regulatory standpoint so that they can be implemented as soon as possible.”



Israeli Minister of Economy and Industry, Eli Cohen, said:

“While Israel’s innovation ecosystem has become a global role model, this has yet to seep into Israel’s own transportation system, which will continue to face significant challenges for the near future. We believe that Israel’s transportation system needs a significant boost and by launching this pilot program, we are enabling the industry to open new avenues, and for startup companies in the transportation sector to grow and mature. This revolutionary program is an important step towards connecting the success of Israel’s hi-tech industry with the transportation industry. The program will enable companies to make significant progress developing solutions for commercialization by running tests in the pilot stage.”

In continuation of government resolution (No. 2316) regarding the establishment of a national program for smart transportation, the Israeli Ministry of Transportation, the Fuel Choices and Smart Mobility Initiative in the Prime Minister’s Office, and the Israel Innovation Authority are jointly launching this program to support technological innovation – in particular pilot programs for new technologies and new paradigms for transportation systems.

It will be the first time that the Israel Innovation Authority will be funding such pilot programs as part of its strategy to support comprehensive scaling of companies. The Ministry of Transportation will offer additional support by helping the companies with the regulatory requirements needed to carry out their pilots and by increasing access to new fields of activity – moves that will also enable the government to innovate its regulatory approach, to swiftly adapt to technological change, and to foster steady and balanced growth for startups as well as the Israeli economy.

The program is intended for Israeli tech companies in the field of transportation. They will receive financial support of 20%-50% for approved R&D expenses – with additional support of up to 75% of R&D expenses for projects which can demonstrate significant potential to streamline and improve transportation within Israel. The program will help offset the risks involved in R&D, without taking a stake in future profits. Companies will return their grants to the Israel Innovation Authority via royalties from sales only if an initiative has been commercialized.

Criteria for joining the program include: level of technological innovation and uniqueness of a pilot; level of difficulty and technological challenge; a company’s capabilities including management’s ability to lead a program to commercial success; the economic-business growth potential of a company if the pilot succeeds; the overall technological and vocational potential to the Israeli economy; the overall effect a project can have on improving transportation in Israel and making it more efficient – in particular, reducing traffic congestion and collisions, reducing oil dependence and encouraging a transition to public transportation; level of regulatory viability in implementing a proposal; quality of the pilot program – including the level of the test site and the synergy between the company and the site; and the pilot program’s potential benefits to the company itself in terms of its go-to-market and commercialization strategies.

Chief Scientist at the Israel Ministry of Economy and Industry and Chairman of the Israel Innovation Authority, Dr. Ami Appelbaum, said:

“In order to put an autonomous vehicle on the road, you need the regulatory approval of the Ministry of Transportation. When you design software to control the traffic light system, you also need cooperation from the ministry. This new program will provide solutions to these issues: a dedicated internal team will examine tech companies with new technological developments and will help fast track requests for regulatory approvals to support these innovative technologies. The goal of the program is to provide tech companies with funding for the advanced stages of development necessary for commercializing new innovations and introducing them to the market. It is intended to provide access to infrastructure, data and sites where government has access and regulatory oversight, which are less accessible for this very reason. This way, companies can test and develop innovative technologies in these arenas, with government agencies promoting regulation to support these initiatives. The moment we create more forward-thinking regulation better suited to these new technologies, we open the door for tech companies to undertake tests that were not possible in the past, and we create an opportunity to forge innovative regulations for the entire Israeli economy for the future.”

Aharon Aharon, CEO of the Israel Innovation Authority, said:

“Operating programs and pilots in real-time environments with adapted regulation will allow Israeli technology companies to offer proof of concept and quickly penetrate markets, thus helping them grow into large-scale companies in Israel. In addition, the commercialization of innovative technologies in Israel will improve the local market and the government’s regulatory capabilities and will help government entities help propel tech companies from idea to commercialization. The claim is often made that regulation and not technology is what prevents our world from transforming in the way many technology leaders are predicting. For this purpose, the Israel Innovation Authority is joining together with the transportation industry to spur the type of innovation which has advanced beyond the laboratory towards trial environments by focusing on such pilots.”