Group 11 founding partner Dovi Frances delivered a compelling forecast for Israel's emergence as a global leader in artificial intelligence at Jerusalem's Accountant General's Conference on Monday. The Israeli-American venture capitalist highlighted Israel's distinctive capabilities while advocating for the establishment of an AI acceleration headquarters at the Prime Minister's Office, alongside the corresponding budget for constructing supercomputing and computational infrastructure nationwide, following the recommendations of the Nagel Committee and prior governmental deliberations on the matter.
Frances referenced statistics illustrating Israel's capabilities: "We are 0.4% of the world, and we lead twenty percent of global innovation. We have 350 international R&D centers, 10% of our workforce in high-tech contributes 18-20% to GDP," Frances stated. He additionally highlighted that 15-25% of Fortune 500 CEOs are Jewish or Israeli, and Israel possesses 46 unicorns – companies valued above a billion dollars – representing the world's highest per-capita ratio.
Frances outlined the Nagel Committee's proposals for a national artificial intelligence strategy, which encompass four components. These initiatives include establishing a national AI headquarters with adequate budgeting for competitive professional salaries, constructing an Israeli supercomputer that requires an investment of 24 billion shekels, providing government database access for AI development, and transforming the educational system to prepare future AI engineers and scientists.
Frances examined regional comparisons with Israel's neighbors, saying that "The UAE, where only 12% of the population was born in the country, has invested hundreds of billions of dollars in artificial intelligence in recent years. Saudi Arabia has a single-digit number of unicorns compared to 46 in Israel," Frances observed. He emphasized that Israel's proposed 24 billion shekel investment represents approximately 3% of the UAE's recent investment magnitude. "It's like 2.5 F-35 squadrons – a relatively small investment that can yield enormous results. The time has come to roll up our sleeves, unite forces, and make artificial intelligence in Israel something sustainable. Israel can lead the global artificial intelligence revolution and become a global AI superpower," he concluded.
Frances' call for AI investment gains additional significance in light of recent warnings from Prime Minister Netanyahu about potential diplomatic isolation that could force Israel to operate under a closed economy and rely primarily on its own resources.
