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- Herausgeber: Frekk Forlag AS
- Kategorie: Fachliteratur
- Sprache: Englisch
In Startup Israel, the authors meet the movers and shakers of the Israeli startup ecosystem. The aim is to figure out both what European leaders and parents can learn from the most tech-davy ecosystem for business startups on the planet.
They tell the story of the importance of an innovative culture. In short: Arguments breed innovation, a strong community can foster entrepreneurship and close proximity in the startup community let ideas travel with ease.
"From a very young age, our society encourages traits that are relevant for entrepreneurs". (Inbal Arieli, CEO of Synthesis and Senior Advisor at Start-up Nation Central)
''Entrepreneurs approach us - sometimes with their idea or some technology solution, and they are confident that their idea is the best. It is always the best thing since sliced bread". (Dr Oded Meirav, manager of the Israel Technology Centre with GE) .
"The family culture is stronger, you know - they all meet at the Sabbath. We used to have that tradition with Sunday dinner in Germany, but it is not as strong anymore". (Inken Braunschmidt, Chief Innovation Officer of Innogy SE)
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Seitenzahl: 77
Veröffentlichungsjahr: 2018
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contents
Prologue:
Crises and community culture
Chapter one:
Creative worlds, worlds apart
Foreign connections
NIIO: Why do all the galleries die?
Building a larger market
Critical voices from within
Chapter two:
Daring to argue
Deep Technology
ZEBRA: bringing digital radiologists to a hospital near you
Unit 8200
Discussions with God and kings
The driver of mobility
Selling miles, not cars
Chapter three:
Another world is possible
Banks with problems
Finance and change
Imagining another world
The African Nail Queen
Learning from experience
Chapter four:
Heimat and the advantages of being small
Community allows for older entrepreneurs
Heimat — a sense of home
Help from the government
Chapter five:
The nation, divided
No scale-up
PPP — Painful Productivity Paradox
Accelerating Networks
Appendix:
Some facts about the programmes that have helped
build the current Israeli ecosystemPrologue
A crisis in community culture
‘In the early 90s, the Israeli kibbutzim had a breakdown. People started to leave. They became more individualistic and wanted more privacy,’ says Lion David. David, a former Art Director in his 30s, has left city stress behind to start a desert-based accelerator programme called ‘The Hatchery’.
Beyond the skyscrapers of Tel Aviv, past the university city of Beer-Sheva, the sparse vegetation of the Negev desert thins to almost nothing. Long, flat stretches of coarse sand stretch between rocky hills above dry river beds. ‘Beware of Camels’ signs alert us that we are in Bedouin territory. Less than two hours’ drive from the beaches of start-up mecca Tel Aviv, here it is: the Middle of Nowhere. A road sign shows ‘Kibbutz Revivim’ on the left. In the middle of stony sand and desert dust lies a man-made oasis, calm and green.
It is as though we’re going back in time, entering a socialist historic reality, to be found nowhere else than in the present-day kibbutz movement. Kibbutzim were originally small, autonomous societies that combined socialism and Zionism, trying to create viable settlements in the unforgiving landscape of Ottoman Palestine. The first kibbutz was established in 1909. Kibbutz Revivim was started in 1943 by staunch idealists. They chose to drink brackish water for 12 long years to get the kibbutz up and running. Through good times and bad, they were all ‘in it together’.
A generation later, their children’s desire for more individual freedom came at the same time as the kibbutz’ lack of economic efficiency became apparent.
‘During the crisis, the Revivim managed to establish what is today a couple of flourishing corporations, including the now global fuel venting company “Raval”,’ explains David.
All told, the kibbutzim today account for 9 per cent of Israel’s industrial output, with a worth of 8 billion USD. Unlike Revivim, most other kibbutzim are a part of the less productive sector of the Israeli economy.
Revivim is the only kibbutz in the country with its own accelerator programme and certainly the only one with an internal investment fund, channelling its assets into new ventures. The start-up sector accounts for approximately 10 per cent of GDP, and is the most productive part of the country’s economy.
Getting to know you
David moved to the kibbutz with his family four years ago. After a few talks with the kibbutz leadership, he felt that they understood his concerns: Firstly, they embraced the fact that the world is in the middle of an enormous change. Their way of life would have to change and evolve to meet the needs of our time, and they saw this change as a great opportunity. Secondly, he felt that they were really interested in him as a person and not just in his business ability.
‘We do the same at the Hatchery. With potential start-ups wanting to join us, we spend ten minutes on their business idea and the rest of the time getting to know them personally,’ says David.
The Hatchery started off as a three-month accelerator programme. It is named after the chicken hatchery that they refurbished and made into a co-working space. At the time, there were only 15–16 accelerators in Israel. Now, Lion David says there are over 260.
‘The concept was born out of my and my co-founder Elad Yeori’s experience. The city is an expensive place to live. You have to bootstrap. That means you cannot focus. You only have about 20 per cent available for your start-up. You basically live like a dog,’ he explains.
At the Hatchery, those accepted to the programme are invited to live on the kibbutz anywhere from three to nine months and are included in community life. For the accelerator, it’s important to treat the entrepreneur as a whole person. However, the accelerator also invests financially in the start-up’s idea. When the start-up has gone through the accelerator programme, the staff introduces them to investors in their network. The Hatchery sees returns if external investors come on board at this time. If the kibbutz itself believes in the business, they will buy an additional stake in it.
‘What makes this setup very special, is the fact that the investors trust that we really know the entrepreneurs well. They’ve lived and eaten with us for months.’
In the beginning, thinking they would attract mainly post-graduates, David and Yeori were surprised to find themselves sought after by entrepreneurs in their mid-thirties, often with families. Today, Revivim houses more than 1000 inhabitants. Together, they are building a new community and a new kind of kibbutz.
Making tracks in the desert dust on our way back to the city, it’s hard not to be a little awe-struck by the pioneers who first created an oasis of life out here – in the middle of nowhere. You also have to admire the kibbutzniks of today, who, like their forefathers, are proving themselves to be both flexible and innovative in creating fresh ways to sustain themselves in a harsh environment. But no brackish water for us, it’s time for a drink!
chapter one
Creative worlds, worlds apart
Brunch without booze is just a late breakfast.
— seen on a café chalkboard in Tel Aviv
Rainbow flags cover the facades of skyscrapers, running down lampposts and blowing in the wind. Look around, wherever you might be in Tel Aviv, and you will probably see a rainbow flag.
If you believe in clichés – and who doesn’t – you might easily reason that the large gay population and numerous gay-positive establishments has led to a vibrant nightlife. And you’d be right. Tel Aviv after dark is booming with internationally renowned DJs and bands that can only truly be appreciated in person. You might live a dog’s life during the day just to be a party animal at night.
Given a blossoming nightlife and a prolific gay culture, who else is likely to come to town? The entourage known as the creative class. Artists like Guy Ben-Ner, Yael Bartana and Omer Fast. Techies like Shahar Matorin, Jason Barzilay and Sivan Ya’ari. No wonder Tel Aviv is full of contemporary art galleries and start-ups. It is a story well known from Berlin, London and New York. But Tel Aviv has two things those places don’t: a beach and a climate that doesn’t stop people from taking off most of their clothes. Some call it Sin City, and at first glance, it may appear that they are right. To a certain extent, it almost feels like a deliberate provocation of Israel’s neighbours.
Nowhere is the creative clustering stronger than near Avenue Rothschild, on the fringes of the rapidly gentrifying area called Florentin. Do not be mistaken, this area is not as sleek as Shoreditch or Prenzlauer Berg. The buildings are wanting for paint. Workshops and shacks abound. But within a 10-minute walk – which for most Northern Europeans quite suffices on a midday in June – lie The Floor, Start-up Nation Central, SOSA, galleries like Dvir, Rosenfeld and Sommer, and theatres like the Suzanne Dellal Center for Dance and Theater. The bars and restaurants are simply too numerous to mention.
The connection between the arts and the start-up scene is intriguing. Both entrepreneurs and artists are in the business of creating something out of nothing, but Tel Aviv also highlights a paradox.
‘The art scene and the tech scene do not mix. They are generally two quite separate business worlds,’ explains Sarah Peguine, founder of the art guiding service ‘Oh So Arty’, which operates in Tel Aviv.
This does not mean that the people in the art scene and the tech scene are unaware of each another.
‘Jobs in the art world are not well paid. Therefore, you’ll find quite a few people who used to work in the art world, or people from the art world who are becoming entrepreneurs, who now want to make some money, starting to work for tech companies.’
Peguine is trying to bridge the gap.
‘The people in the tech and art scenes are young, creative, and work close to each other. And I would like to make these two worlds meet.’
One thing is getting the people from the tech scene interested in art.
‘There aren’t many collectors from the start-up scene, but I think that will change over the next five years. These are educated, liberal people and they have money. But I think we have to foster an interest in art among them.’
