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israel\'s defence expertise drives tech boom for autonomous cars

SHFAYIM, Israel (Reuters)-
Technologies that help the Israeli military drive tanks, guide and intercept missiles and keep computer systems safe are being redeployed into the development of driverless cars.
Investments from companies seeking to acquire expertise in autonomous driving in Israel are pouring into start-ups, most of which are collected by engineers during conscription. U. S.
Intel chip manufacturersINTC. O)
Automotive suppliers in mainland GermanyCONG. DE), Samsung (005930. KS), Daimler (DAIGn. DE)
Ford Motor Company (F. N)and GM (GM. N)
It\'s one of those who buy start-ups in Israel or set up their own development centers.
Lack of experience in automobiles
For investors, manufacturing, distance from traditional car centers, and competition with other technology sectors are a challenge.
Israeli car technology startups are still financing the same size as the United States. S.
Last year\'s company
\"A lot of entrepreneurs come out of the IDF, they are often more than the traditional Silicon Valley (entrepreneurs)
Ford\'s executive chairman, Ford Jr. told Reuters.
\"They have a lot of judgment and wisdom.
In particular, in areas such as cyber security, Israel is carrying out a large number of activities.
\"With the company raising $1, the United States has attracted the most investment in the industry.
According to CB Insights, a venture capital data provider, it was 2 billion last year.
Silicon Valley, Pittsburgh and Detroit are struggling to become leaders in the era of driverless cars.
Israeli car technology start-ups are also following.
According to Start-Start data, they raised $0. 814 billion last year, three times the level of 2015, and $0. 182 billion in 2018, in line with last year\'s pace
National Center.
Israeli auto technology investments, including venture capital, acquisitions and joint ventures, totaled $3.
5 billion on 2017, Micki Shapira, partner of law firm Weinstock Zecler & Co, said.
Startups elsewhere are pushing.
With the strong support of the Chinese government, Beijing has become a hot spot.
But Israel\'s innovation, usually in elite military sectors such as cyber intelligence 8200, wireless sensors, security, positioning and analytics software, means it is in a good position to compete with Silicon Valley.
Cyber security expertise ensures that computers of driverless cars prevent hackers from entering, while radar, sonar, sensors and positioning systems are used to keep cars on the road and prevent them from hitting other vehicles or objects.
Chris McNally, an analyst at Evercore ISI, said network and fraud detection technology is rooted in counter-terrorism, while breakthroughs in optical and sonar software may come from missile defense.
On an empty highway built by the Israeli government to test itself
Driving a car near Shfayim north of Tel Aviv-
Last month, supported startup Imagry demonstrated its technology on the improved Kia Soul. The five-
Seats equipped with cameras, infrared and artificial intelligence keep a safe distance from another car. Autonomy -
No need to rely on expensive laser detection systems used by Waymo and GM --
Has become the pursuit of the industry.
Chief executive of Imagry (CEO)Adham Ghazali.
His goal is to produce technology that is cheaper than lidar.
Another Samsung
Innoviz, a supported startup, wants to reduce the cost of lidar rather than replace it. The CEO of Innoviz worked in an elite technical unit of the IDF intelligence force for seven years.
With partner Magna (MG. TO)
Last month, it signed an agreement to provide a lidar to BMW (BMWG. DE).
Innoviz raised $73 million in 201.
Completely autonomous-
UBS estimates the market value will be as high as $2.
2030 3 trillion-
Ghazali\'s goal is to operate 20 robot taxis in Israel and the United States next year under the \"four levels\" of autonomy, with security drivers present.
In 2014, after Google bought Waze, a mapping company for $1, Israel\'s auto technology industry began to take off. 2 billion.
When Intel spent $15, it took another big step.
Last year, mobile Leye, a 3 billion autonomous vehicle technology company, transferred all its operations in the field to Jerusalem.
\"We are not considered a country that provides technology for the automotive industry, and suddenly you have more than 500 different startups dealing with it. . .
Automotive industry, \"Mobileye co-
Said founder Ziv Aviram.
Automotive suppliers in mainland GermanyCONG. DE)
Last year, Argus, a cyber-security company that\'s CEO is the captain of 8200 troops, was acquired for $0. 43 billion.
In 2016, Samsung Haman acquired TowerSec, a network company, for $75 million. Renault-Nissan-Mitsubishi (RENA. PA)7201. TA (7211. T), VW (VOWG. DE), Porsche (PSHG_p. DE)and Honda (7267. T)
There are also interests in Israel.
\"We\'re going to do more here,\" said Nick Yamamoto, Honda\'s innovation director . \".
The government is keen to support the industry.
Gil Shaki, head of energy, clean technology and transportation at the Innovation Authority, said it is building a simulator for test drivers and is committed to regulation to balance safety with innovation.
But car companies dealing with Israeli start-ups still face challenges.
\"You don\'t have much knowledge about how to adopt a technology that is in a new state and get it on track. . .
Car grade, \"said Glenn de Voss, chief technology officer of Aptiv, a major auto supplier that is developing a safe and self-driving system.
He said that startups can sometimes be surprised that it can take five years to launch products on cars, while it will take ten years to achieve significant sales.
The distance from other car centers can also be a problem.
\"It\'s hard to do this,\" said De Vos, Silicon Valley-based . \".
A challenge for startups is to compete with employees of large international companies such as Google or Intel.
The government predicts that in the next decade, there will be a shortage of 10,000 engineers and programmers in the technology industry, which already has 270,000 employees.
Many startups turn to cars in other areas.
In September, StoreDot raised $60 million from Daimler and another $20 million from BP (BP. L)
On Tuesday, a super was developed.
Phone quick charger before switching to car.
According to the start-up market Funderbeam, the company is valued at $0. 75 billion, and the company says its batteries can charge electric vehicles in five minutes.
\"Both are big markets, but we tend to think the electric car market will be much bigger,\" said Erez Lorber, chief operating officer at StoreDot . \".
Kobi Merenko, CEO of Arbe Robotics, said that Arbe robotics is rooted in military and homeland security and makes radar for drones before entering the car.
Fat Oron, CEO of the bank\'s Leumi technology unit, said interest in the industry pushed up valuations.
If the start-up of the early financing round had raised $3
At $5 million, it can now get $20 million and hundreds of millions at a later stage.
\"There is always a situation of over-excitement in the field of network security,\" she said . \".
\"Maybe it will be corrected a bit, but we can\'t see this happening in the near or medium term. term.

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