Background

Israel has been identified by many as the next Silicon Valley, with Newsweek magazine identifying Tel Aviv as being one of the worlds most important Hi Tech centres. Israel's software exports were up 50 percent in 1998 over 1997, and reached a record $1.5 billion.

The software sector is the fastest growing of all the export industries in Israel, and if this level of growth continues throughout 1999, exports will exceed $2b by the end of the year.

Many of the start up companies in Israel are involved in software development, and this year it is predicted that the exports of over 200 new software houses and start-ups crossed the $1 billion-a year barrier.

 

Australia and Israel share many similarities in the software industry. These similarities include the extensive range of innovative products which have been developed and proven successful in international markets, especially in niche areas.

The leading edge technologies of Israel's software industry, coupled with the positive environment for high tech enterprises in Israel, have provided several channels for potential cooperation including marketing agreements for Israeli software products with distributors and system houses overseas, outsourcing contract programming, subcontracting and joint project, as well as joint ventures with IT companies in avenues including jointly owned development centres, or software package development under OEM agreements.

Australian and Israeli software houses often compete in separate markets, and this lack of direct competition can create opportunities for cooperation, especially in joint ventures of R&D and marketing.

 

• Research Israeli industry links.
• Research Australian industry links.