MANY Israeli start-ups should pay royalties to the army, says Edouard Cukierman, a venture capitalist in Tel Aviv. He is only half joking. Despite the recession, Israel’s technology exports grew by more than 5% last year. Mr Cukierman thinks military service deserves some of the credit. Israel’s army does not just train soldiers, he says; it nurtures entrepreneurs.
Teenagers conscripted into high-tech units gain experience 'akin to a bachelor’s degree in computer science', says Ruvi Kitov, co-founder and chief executive of Tufin Technologies, an Israeli software firm. Almost all of Tufin’s employees in the country are, like Mr Kitov himself, veterans of the Israel Defence Forces (IDF). One of the firm’s cash cows is software that finds spam servers and blocks their transmissions. It is based on IDF cyberwarfare technologies that developers first used as soldiers."