Multinationals Open More Than 20 R&D Centers a Year in Israel

Multinational corporations operate 344 research and development centers in Israel

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IBM offices in Petach Tikva, Israel
IBM offices in Petach Tikva, IsraelCredit: Nir Keidar

Multinational corporations maintain a total of 344 research and development centers in Israel (with some having more than one R&D center), data collected by Startup Nation Finder shows.

The first multinational’s R&D center was established by IBM in 1972 while the newest overseas player with a center here is CIMS, a Chinese electronics quality control company. Between 1989 and 2004, multinationals opened R&D centers at the average rate of 3.6 per year, but the pace then picked up, the data show. Between 2014 and the first half of this year, 117 R&D centers were opened by multinationals from 21 countries – at an average rate of 23.4 per year.

At least 80 of the 117 were the result of acquisitions of Israeli startups, the data show. Over the past five years, most of the multinationals opening new R&D centers opened in Israel were American.

The DataNation series is published in collaboration with Start-Up Nation Central and is based on information and insights collected and analyzed by the organization. Start-Up Nation Finder maps the Israeli high-tech industry and connects the world to Israeli start-ups, investors and innovation programs.

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