State Incentives for Israeli Startups: 2026 Data and Statistics

By IsraeliLeads. Published and last checked October 12, 2026. Every figure below links to its source.

Short answer: if you run an Israeli cybersecurity, robotics, chip design or defense tech company and you already have a U.S. office, there are U.S. programs that can pay part of your costs. The ones we could document are a binational research fund (BIRD), a Florida and Israel joint program, and State incentives that follow your hiring and spending.

Most Israeli startups that raise from U.S. investors already have a U.S. office, usually in California, New York, Florida, Texas or Massachusetts. That office is your starting point, because State programs pay for jobs and spending inside that State.

Why the State matters more than the country

Each U.S. State runs its own economic development agency, its own budget and its own incentive programs, and it can pursue agreements with foreign governments and companies on its own. The programs on this page come from different States, not from one national scheme. Florida funds joint research with Israel, Texas is opening an office in Jerusalem, and Ohio's legislature voted to create a commission. Those are three separate decisions by three separate governments, and the State of your U.S. office decides which of them you can reach.

These grants are real and awarded every year

BIRD is the clearest proof. It is run by the U.S. and Israeli governments, it takes no equity in the companies it funds, and it has been paying out for decades.

950+joint U.S. and Israeli projects supported since 1977, per BIRD's website as reported by Calcalist in April 2019 (Calcalist)
About 30projects supported each year, per BIRD's own about page (BIRD, archived copy)
$350M+invested since BIRD was founded in 1977, per BIRD as reported in June 2020 (Algemeiner)

These totals are older than 2026, so treat them as the scale of the program, not today's exact count. The 2026 call is listed in the table below.

How to use this page: 5 steps

Confirm your U.S. entity and office State
Write down the legal U.S. company and the State where your team sits or will hire next. Programs match to that State.
Name your category
Cybersecurity, robotics, chip design or defense tech. Programs list the fields they accept, so your category decides which ones are even open to you.
Match programs to your category and State
Use the table below. We only list programs we could source, and we say plainly where we found none.
Check the conditions before you spend time
Look for a required U.S. partner company, a minimum number of new jobs, or a 50% share you must fund yourself.
Pick the order and apply
Start with the program that fits your category and office State best. The free Fit Score preview below does this matching for you.

Words used on this page

Non-dilutive funding: Money for your company that does not cost you shares.
Conditional grant: A grant you repay only if the project earns revenue. BIRD works this way.
Cost share (50%): The program pays up to half of an approved project budget and you or your partner fund the rest.
BIRD Foundation: A fund set up by the U.S. and Israeli governments to back joint projects between one U.S. company and one Israeli company.
Israel Innovation Authority: Israel's government agency that funds technology companies.
Deal-closing grant: Cash a State offers a company that is choosing between that State and another, to win the new jobs.
Trade office or trade commission: A State government office or advisory group that tries to attract Israeli business. It builds relationships and does not pay companies, so it is not a grant.

Key numbers at a glance

$1.5MBIRD maximum per project, 50% cost share (birdf.com)
$20MSpace Florida and Israel Innovation Authority funding over a decade, as of June 2023 (Space Florida)
$4Bapproximate Texas and Israel trade in 2024 (Jerusalem Post)
75 jobsminimum new urban jobs for a Texas Enterprise Fund grant (Waller County)

Which route fits your type of company

What we could document for each category, checked October 12, 2026
Your category	Programs that name your field	What we could not confirm
Cybersecurity	BIRD lists Homeland Security and Cyber Security as fields (BIRD call) and runs a homeland security program (BIRD). The Space Florida and Innovation Authority call lists cyber security (Innovation Authority).	Whether a call is open right now. Check birdf.com and the Innovation Authority before planning.
Robotics	The Space Florida and Innovation Authority call lists robotics and advanced manufacturing (Innovation Authority).	BIRD names advanced manufacturing but not robotics. Confirm fit with BIRD before applying.
Chip design	BIRD lists electronics as a field (BIRD call). Tower Semiconductor is among the Israeli companies with the most capital invested in Texas over ten years (Jerusalem Post).	No State grant built for chip design. The Texas investment shows the State hosts the sector, not that a program exists.
Defense tech	BIRD runs a homeland security program (BIRD). Texas and Israel collaboration spans defense (Texas Comptroller), and much of the trade is defense related (The Media Line).	We found no State grant program made for defense tech. For this category the realistic first step is the State where your U.S. customers sit.

Massachusetts is one of the most common office States, but we did not list a Massachusetts program because we could not confirm a currently open one. The Fit Score checks it for your company.

The programs in plain words

Program details, data checked October 12, 2026
Program	What you would get	Condition	Status	Source
BIRD Foundation	Up to 50% of project costs, up to $1.5M. Repaid only if the project earns revenue.	One U.S.-registered company and one Israeli company apply together on a shared project.	2026 cycle: summaries due May 14 and full proposals July 9, 2026. Next dates not confirmed.	BIRD, Israel Desks
Space Florida and Israel Innovation Authority	The Israeli side: Innovation Authority grant of up to 50% of project budget. The Florida side: up to $400K per proposal in the 2023 call.	A joint research project with a Florida company. Fields include aerospace, AI, cyber and robotics.	Running since 2013. About $2M went to eight companies in July 2024. Usually four or five partnerships a year.	Innovation Authority, SJL Magazine
Texas Enterprise Fund	A deal-closing cash grant from the Governor's office.	More than 75 new full-time jobs (urban) or 25 (rural), wages at or above the county average, and a competing site in another State.	Rolling applications. It usually fits larger expansions than a first U.S. hiring round.	Waller County
State of Texas Israel Office, Jerusalem	A Texas government office in Israel that aims to bring Israeli companies to Texas. Not a grant.	Not applicable.	Approved in 2025. As of August 2026 still being set up, with a request for an operator issued in June.	Jerusalem Post, Texas Comptroller
Ohio-Israel Trade and Innovation Partnership (HB 188)	A 17-member commission to study trade and business and academic exchange. Not a grant.	Not applicable.	Passed the Ohio House 73 to 10 on November 5, 2025 and moved to the Senate. We could not confirm Senate passage.	Ohio House, JNS

Details that change the picture

BIRD figures differ by version. BIRD's own materials have cited both $1M and $1.5M caps over time. The current homepage states $1.5M, so confirm on birdf.com before you plan around it.

Why the Ohio vote matters to you. House Bill 188 would create a 17-member commission that holds hearings across Ohio and reports to the governor and legislative leaders on how Ohio can build trade, investment and business and academic exchange with Israel. It passed the Ohio House 73 to 10 on November 5, 2025, and its sponsors are one Democrat and one Republican (Ohio House). The commission does not pay companies, so you cannot apply to it. It matters as an early signal: when a State sets up a formal channel for Israeli business, incentive programs, introductions to State agencies and State purchasing attention often follow later. If your U.S. office is in Ohio, or you are choosing a State for your next hires, it is worth watching whether the Senate passes the bill.

Ohio's appropriation is uncertain. The introduced version of HB 188 included $5.0M in each fiscal year of 2026 and 2027, per the Legislative Service Commission fiscal note. The title of the House-passed version no longer mentions an appropriation. Do not count on that money.

Trade context. Texas exports to Israel were reported at $757.9M and imports at $3.2B in 2024 (Jerusalem Post). Ohio exported nearly $242M to Israel in 2023, ranking Israel 26th among its destinations (JNS).

A different route to revenue than cold calling

Most advice for a young B2B company ends in outbound sales: hire sales development reps (SDRs) or business development reps (BDRs), build a list, and make the calls, hoping a few turn into real conversations. Public money works differently. State programs and government buyers publish what they fund, who can apply and when, so you can see who is already set up to spend before you reach out to anyone.

IsraeliLeads maps those programs and buyers to your company. The Grant Fit Score Report covers incentives. The SLED Opportunity Brief covers State, Local, Education and District buyers.

Find out which programs fit your company

The free Grant Fit Score preview shows how many State incentive programs match your sector and U.S. footprint. The full Grant Fit Score Report names them, for 450 NIS.

Get your free Fit Score preview

Frequently asked questions

Which U.S. programs fit an Israeli cybersecurity startup?

Two documented routes list cybersecurity by name. The BIRD Foundation lists Homeland Security and Cyber Security among its fields and funds up to 50% of a joint project with a U.S. company, up to $1.5M. The Space Florida and Israel Innovation Authority joint program also lists cyber security as a related field.

Is there U.S. funding for Israeli robotics, chip design or defense tech startups?

Robotics is named in the Space Florida and Israel Innovation Authority call. BIRD lists electronics and advanced manufacturing among its fields, which can cover some chip and hardware work. We found no State grant program built for defense tech, but Texas trade ties with Israel are heavily defense related, so a defense company's best first step is usually a State where its U.S. customers sit.

Does my Israeli startup need a U.S. office to get U.S. incentives?

In practice yes. State incentives are tied to jobs and spending inside that State, and BIRD requires one company registered in the U.S. and one in Israel. Most Israeli startups that raise from U.S. investors already have a U.S. office, usually in California, New York, Florida, Texas or Massachusetts, so the first step is to match the programs to the State of that office.

How much does the BIRD Foundation fund?

BIRD states that it covers up to 50% of project development costs, up to $1.5M per project, as conditional grants that are repaid only if the project earns revenue. Older BIRD material cites a $1M cap, so confirm the current cap on birdf.com.

Why does an Ohio legislative vote matter to an Israeli startup?

Each U.S. State makes its own economic development decisions and can pursue deals with foreign companies on its own. Ohio's House Bill 188 passed the Ohio House 73 to 10 and would create a commission to build trade and investment ties with Israel. It is not a grant you can apply for. It is an early signal that incentives and introductions may follow, which matters most if your U.S. office or next hires are in Ohio.

What is a U.S. State trade office or trade commission, and is it a grant?

No. It is a State government office or advisory group whose job is to attract Israeli business and build relationships. It does not pay companies. Texas is setting up an office in Jerusalem and Ohio has a bill to create a 17-member commission. Neither is a grant program.

Sources

IsraeliLeads acts as a strategic matchmaker and ecosystem scout. We do not file government grants or provide legal or tax advice. Program terms change, so read each official notice before you apply.