The Role of the Israeli Army in the Development of Civilian Technologies

IDF

Israel is often dubbed the “Start-Up Nation,” but behind this technological dynamism lies a discreet yet powerful engine: the Israeli army, and in particular its elite intelligence and cyber defense units. Innovations born in the context of national security find their way, just a few years later, into delivery drones, navigation apps, cybersecurity systems for companies, and even medical technologies. This permeability between defense and civilian sectors is no accident—it is central to the Israeli model.

Unit 8200: A Breeding Ground for Founders

“Unit 8200 is to Israel what MIT is to Silicon Valley,” explains Yossi Vardi, a seasoned investor in Israeli tech. This military intelligence unit, specializing in data gathering and electronic warfare, trains hundreds of young recruits each year in cutting-edge technologies. Many leave the army with concrete ideas, advanced skills, and powerful networks.

Among Unit 8200 alumni are the founders of Waze (the navigation system acquired by Google), Check Point (a cybersecurity giant), Argus Cyber Security (focused on connected car safety), and NSO Group, the company behind the controversial Pegasus software.

“What people often forget is that the army here functions like a tech accelerator. You’re given three years to solve a critical problem, with a brilliant team and often limited resources. It shapes how you think and how you innovate,” says Tal Dilian, a former intelligence officer turned entrepreneur.

Drones and Computer Vision: From the Battlefield to the Field

Israel has been a global pioneer in military drones. As early as the 1980s, the IDF developed UAVs (Unmanned Aerial Vehicles) to monitor borders and support operations. These skills have since been translated into civilian applications ranging from precision agriculture to mapping and autonomous delivery.

Airobotics, founded by former defense engineers, offers civilian drones capable of conducting missions without human intervention. “The core technology comes directly from the army—same sensors, same stabilization and vision algorithms. But we adapted them to a civilian, regulated environment,” says Meir Kliner, co-founder of Airobotics.

In the field of computer vision, Mobileye—acquired by Intel for over $15 billion—epitomizes the migration of military tech to the civilian world. While the company wasn’t founded within the army, its real-time perception and analysis technologies were inspired by surveillance drone systems.

Surveillance and Cybersecurity: Between Threat and Market

The Israeli army also invested early in cybersecurity, a domain that became critical in the early 2000s. Thanks to its expertise in cyber warfare, Israel has become a global leader in data protection.

“Cybersecurity is not a luxury for us—it’s an existential necessity. The same infrastructure used to protect a military base can be used to secure a hospital or a bank,” explains Nadav Zafrir, former commander of Unit 8200 and co-founder of Team8, a venture fund focused on cybersecurity startups.

Several Israeli firms, including CyberArk, SentinelOne, and Illusive Networks, employ former soldiers who worked on sensitive systems. These skills are increasingly in demand internationally, especially in Europe and the United States, where cyber threats are growing at an exponential rate.

This link between the military and innovation is not only structural, but also cultural. The army trains young people to make fast decisions, to fail, and to try again—values that align perfectly with an entrepreneurial mindset.

“In Israel, failure is not a disgrace. It’s often even a bonus on a résumé. And that partly comes from the army, where you learn to take responsibility at a very young age,” says Inbal Arieli, author of Chutzpah: Why Israel Is a Hub of Innovation and Entrepreneurship.

This synergy is also supported by flexible legislation and a geographic and human proximity between military, academic, and entrepreneurial spheres. In a country with fewer than 10 million people, connections are fast, and ideas flow easily.

Ethical and Geopolitical Challenges

However, this blurring of lines between defense and civilian sectors also raises concerns. Companies like NSO Group and Cellebrite have faced criticism for exporting surveillance technologies to authoritarian regimes.

“Israel’s challenge today is to reconcile its technological power with a broader sense of ethical responsibility. Legality alone is no longer enough; actions must also be legitimate,” says Eyal Benvenisti, professor of international law at the University of Cambridge.

The Israeli model shows that military innovation can fuel the civilian economy, provided there are flexible structures, efficient bridges, and a culture that embraces risk. But it also brings to the forefront major issues of regulation, transparency, and control.

Caroline Haïat