Change Healthcare, GE Healthcare and Medtronic are among the 320 foreign-based multinational corporations active in Israel.
By: United with Israel Staff
Israel continues to evolve into a major player in the biomedical technology industry following a recent vote of confidence in the Jewish state’s ecosystem from three global life science giants.
In an initiative facilitated by Israel’s Industrial Cooperation Authority and its Innovation Authority, which included a multi-month proposal review process, three leading biotech companies were selected to help expand research and development (R&D) centers of multinational companies in biotechnology and medicine in Israel.
The companies that completed the process are Change Healthcare, GE Healthcare and Medtronic.
As part of the program, the government approved funding of NIS 120 million ($32) over the next six years.
These three companies join 320 other foreign-based multinational corporations active in Israel, positioning the country as an international leader in innovation and as an attractive hub for global companies.
The program is a significant boost to the Israeli field of digital health, and supports the March 2018 government resolution to establish Israel as a leading international hub for global leaders in this field.
The program significantly bolsters the presence of important multinational leaders in Israel in the fields of medicine and medical equipment, establishing a long-term presence of these players in an important and growing field, with significant impact on Israeli companies and the Israeli workforce.
The program will also import key new intellectual property expected to generate significant income from future taxation.
Change Healthcare is one of the world’s leading suppliers of digital health solutions, with $3.3 billion in annual revenue. In coordination with its clients and partners, the company leverages its software and data analysis-based solutions and its network and technology-led services in order to provide patients better care and the ability to make sense of the medical options they face.
GE Healthcare, the health division of General Electric, became active in Israel in the late 1990s, when it acquired Diasonics Vingmed Ultrasound and Elscint from Elbit Imaging. In 2011, GE Healthcare acquired Orbotech’s sensors for nuclear medicine and other types of imaging. The company employs 410 people in four centers located in Tirat HaCarmel, Tel Aviv, Herzliya and Rehovot.
Medtronic, founded in 1949, is today one of the world’s largest companies in the field of medical devices. The center in Israel will focus on developing imaging systems for laparoscopic surgeries (MIS).
Vote of Confidence in the State of Israel
Israeli Minister of Economy and Industry Eli Cohen announced earlier this month, “The decision by these three multinationals to operate in Israel is an important vote of confidence in the State of Israel and the Israeli economy.”
“Expanding these R&D centers will help position Israel as a leading player in the field of biomedicine, while creating high-quality jobs in the fields of engineering and manufacturing, generating additional exports worth billions of dollars,” he underscored.
Aharon Aharon, CEO of the Israel Innovation Authority, said that “the new activity is expected to provide a significant boost to the biomedical field in Israel and to facilitate growth in new directions, creating prominent international centers of excellence along with significant local capabilities in these growing fields.”
“These R&D centers will bring unique knowledge and experience to the local workforce and will serve as the basis for the continued growth of Israel’s innovation ecosystem and Israeli companies growing here,” he added.