![]() In 2017, Israel founded a national center of cyber education, which now has 80 nationwide learning centers and 330 staff members. The rapid ascent of Israel’s cybersecurity can be explained in part by the country’s focus on national defense and government efforts to promote the industry. However, the inland city of Be’er Sheva is a rapidly growing presence in cybersecurity, in no small part because of a deliberate policy effort to move national cyber units there. 4 Tel Aviv is the heart of cybersecurity and the broader tech industry in Israel. Of these clusters, Israel is second in terms of venture capital funding at $4 billion and percentage of top 150 innovative cybersecurity firms (as compiled by Cybercrime Magazine) at 32%, which underscores Israel’s reputation as a “start-up” nation. 3 In the context of cybersecurity or other fields that rely heavily on innovation, the formation of clusters can have a decisively positive effect. ![]() The term cluster refers to a “concentrated density of firms within a geographic region” which typically enjoy the benefits of high concentrations of human capital, shared knowledge, and institutional support. Globally, three geographical regions stand out as the largest clusters of cybersecurity innovation when taking into account factors such as venture capital funding, number of leading firms, human capital, and knowledge spillover effects: the San Francisco Bay Area, Greater Washington D.C., and Israel. Pinpointing the Israeli Cybersecurity Cluster The growing awareness of the need for cooperation and investment in the field of cybersecurity should create opportunities for leading Israeli firms.
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