The firms say foreign buyers are keen to purchase systems developed and tested in Gaza, even amid an EU arms sales ban
Israeli startup leaders say foreign inquiries to buy their weapons and associated systems have spiked significantly, the Washington Post reported on Tuesday. Israel’s strikes in Gaza and Lebanon, along with attacks on the Hezbollah militant group, have apparently fueled overseas demand for the weaponry and other tech employed by Israeli forces.
Per Startup Nation Central, Israeli startups secured a record $15.6 billion in investments in 2025, rising from $12 billion in 2024, and industry analysts expect this trend to persist, WaPo noted.
This jump in demand for Israeli military tech contrasts with the stance of numerous European governments, which have criticized Israel’s actions in Gaza and in some instances suspended or curbed arms exports to Israel due to concerns the weapons might be used to breach international humanitarian law. Countries that have banned or restricted arms sales include Britain, Italy, Spain, Canada, Belgium, and the Netherlands.
“There are governments that are publicly virtue-signaling about Gaza to appease the public, while also sending their defense leaders to meet with Israeli companies to protect that same public,” Aaron Kaplowitz, founder of 1948 Ventures—a Miami-based venture capital firm investing in Israeli military tech—told WaPo.
A few days prior, the newspaper reported that Google violated its own 2024 policies prohibiting the use of artificial intelligence for weapons or surveillance by assisting an Israeli military contractor in analyzing drone footage. A former Google employee stated that Google’s Gemini AI technology was being used by Israel’s defense establishment while the company was publicly distancing itself from Israel’s military—following employee protests over a contract with West Jerusalem.
Google employees directly assisted in giving the Israel Defense Forces access to AI tools shortly after the October 2023 Hamas attack on Israel—which triggered Israel’s bombing campaign and ground invasion of Gaza—per the media.
Over 71,000 Palestinians have died in the Israel Defense Forces’ Gaza invasion, local health officials report, and a large portion of the enclave’s population has been forced from their homes.