A significant increase in the scope of activity and influence of companies founded by Israelis on the Massachusetts economy * their number reaches over 200
The activity of companies that were founded by Israelis, and most of them operate in Boston, Massachusetts, continues to grow and they are now a very significant part of this country's economy. This is according to a new study published today by the Chamber of Commerce of New England and Israel. Most of the companies that were founded by Israelis in the New England area operate in and around Boston and their number reaches more than 200. The main areas in which these companies specialize are: cyber security, software, storage, XNUMXD printing, medical equipment, pharma, digital health, energy and water technology.
According to the study, the revenue of these companies amounted to more than 2015 billion dollars in 9. The indirect contribution of the companies to the economy of the region, which includes the purchase of various services such as legal advice, accounting services, expenses for marketing activities, renting offices and other business needs, reaches more than 18 billion dollars.
The companies founded by Israelis employed about 2015 workers by the end of 9000. The companies' activities indirectly contribute to more than 27000 jobs in wider circles of employment. The increase in employment in companies established by Israelis between 2013-2015 was five times greater than the general increase in employment during this period in Massachusetts.
Since the last study published by the New England and Israel Chamber of Commerce in 2012, there has been a significant increase in the revenue of the Israeli-affiliated companies, and their share in the GDP (gross domestic product) of the state of Massachusetts currently stands at about 4%.
The research data shows a massive increase in the volume of revenues, and other business and economic parameters. This increase is largely due to the increase in the scope of activity of the companies with Israeli ties and to some extent also from the increase in the number of companies with Israeli ties that did not participate in the previous study done in 2012.
The volume of venture capital investments in 48 companies founded by Israelis reached $2013 billion between 2015-1.2 and is 10% of the volume of venture capital investments made in Massachusetts during these years. The scope of the mergers and acquisitions transactions carried out with Israeli-affiliated companies located in and around Boston during the past 17 years, amounted to more than 10 billion dollars.
The success and the significant contribution of the companies established by Israelis to the economy of Massachusetts, lead the administration of this country to take diverse actions to expand business relations between the two countries. This is with the aim of encouraging Israeli companies, mainly from the fields of technology and life sciences, to establish their global activities in Massachusetts. One of the prominent actions taken by the government is the organization of many delegations of businessmen led by the governor to Israel with the aim of encouraging the expansion of economic activity and strategic cooperation between companies and enterprises from the two countries.
"Businesses established by Israelis make an important contribution to the Massachusetts economy both in the hi-tech and life sciences fields". said the governor of Massachusetts, Charlie Baker". The future looks promising and companies from Massachusetts and Israeli companies will continue to develop groundbreaking innovations in the global arena."
"Massachusetts is a global model for cooperation with Israel and is a preferred destination for Israeli businesses and entrepreneurs expanding their activities to the United States and the world," said Dan Shapiro, the United States Ambassador to Israel. "Between the two countries there are collaborations and exchanges of knowledge with the aim of promoting a series of fields including: life sciences, bio technology, pharma, cyber, information technology and water technology. "
David Godtree, a private investor, initiator of the research and active in the promotion of economic relations between Israel and Massachusetts, noted that Boston and its surroundings are today a preferred option for a growing number of Israeli companies that locate their operations in the USA. The advantages offered in Boston and its surroundings to Israeli companies, place the area as one of the three preferred destinations for Israeli companies in the USA. These destinations include Silicon Valley and New York.
In fact, in quite a number of parameters related to business infrastructure, including: taxation, cost of living, quality workforce, higher education and options for research and development, Boston is in first place compared to New York and Silicon Valley. (Another detail that also includes other parameters can be found on page 31 of the study).
"The partnership between Massachusetts and Israel has an importance beyond profits. This is a partnership designed to improve the quality of life for Israelis, Americans and people all over the world," said Yehuda Yaacov, Israel's Consul General in the New England region. "As can be seen in the new study, the economic relations between Massachusetts and Israel can be a model for other countries in the US for cooperation with Israel. We will work tirelessly so that in the next study we will see a further increase in the scope of business activity."
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In the country of culture encouraged by the state, in my opinion, it belongs to exits. It is interesting that someone will publish a summary of all the sales of those companies from Israelis without Israelis. Maybe one billion. Israelis are known all over the world. Not a waste?
The Germans don't sell Siemens, the Israelis sell Tnuva and Strauss and Hevi Ischar. What's the Deal.
And what is so good about brain drain?