Global Recognition Tel Aviv Ranks No. 4 in Startup Ecosystem Index

Tel Aviv has officially claimed the No. 4 spot in the 2025 Global Startup Ecosystem Report (GSER), reinforcing its status as one of the most vibrant and high-performing tech hubs on the planet. The announcement was made on June 12 at VivaTech in Paris, a premier global conference celebrating innovation and entrepreneurship.

The GSER, now in its 13th year, is the world’s most comprehensive research initiative on startup ecosystems. It evaluates more than 5 million companies across over 350 cities, measuring ecosystem performance by tech startup valuations, funding rounds, and exit values.

“Tel Aviv’s position as the No. 4 Global Startup Ecosystem continues to impress as it maintains its edge against cities three to 10 times its size,” said J.F. Gauthier, CEO of Startup Genome, which produces the report. “This attests to the strength of its innovation ecosystem and the commitment of its leaders to fostering startup success.”

From July 2022 to December 2024, Tel Aviv's ecosystem generated an astounding $198 billion in ecosystem value, a key metric of economic impact. The city also ranked in the global top 10 for innovation (Knowledge), long-term talent generation and retention (Talent & Experience), and early-stage funding (Funding).

Mayor Ron Huldai emphasized the consistency of Tel Aviv’s tech community “This reflects the deep foundations of our innovation ecosystem and the strength of our tech community.”

Sectoral drivers of growth include artificial intelligence, cybersecurity, and life sciences. AI and cybersecurity startups attracted multi-million-dollar funding rounds in 2024–25, while life sciences grew by 25% to $2.7 billion. Multinational tech giants including Nvidia, Meta, and Alphabet have also expanded their R&D operations in Tel Aviv.

The city’s appeal to startups isn’t accidental. With over 180 multinational R&D centers, targeted tax incentives, and robust public-private cooperation, Tel Aviv offers a launchpad for high-growth ventures. New policies in 2025 supporting foreign investment and an $800 million innovation lab are expected to further supercharge growth.

Jeff Horing, co-founder of Insight Partners, which has offices in Tel Aviv, called Israel home to “the highest-quality entrepreneurs in the world full stop.” He praised the country’s unmatched blend of integrity, intelligence, grit, and innovation.

Tel Aviv's rise is not only a win for Israeli entrepreneurship it’s a clear sign of Israel’s global leadership in turning ideas into world-changing technologies.

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