Innovation Outposts: what and where
“Israel is known for its large number of skilled professionals across a broad range of sectors and international companies have been channelling, for decades now, this pool of talents to fuel their research and developments efforts – added Alberto Onetti – It is not a surprise, then, that more than half of the outposts we found are R&D centers”.
In addition to the 107 R&D Centers, the Report tracked 45 Corporate Innovation Labs, 39 CVCs and 7 Corporate Innovation Antennas.
Around half have structured operations with teams larger than 50 people, 58 of which with more than 200 people. Conversely, around one-third of the outposts (62) is organised in small and lean teams of less than 10 people, in the form of either a Corporate Innovation Antenna (7), CVC Of ce (39) and small Innovation Labs (15). Around half of the Corporate Innovation Labs have decided to have a team between 10-50 people, and only 5 labs have grown to larger teams.
The R&D centers, in particular, have been almost doubling every 10 years since 2000, confirming Israel has been recognized for decades now as a strategic ecosystem where to establish research & development activities. Innovation Labs, managing a broader range of activities related to corporate innovation, are even particularly interesting as their number has been doubling over the last 5 years only. Furthermore Corporate Innovation Antennas have started growing too, with 6 out of 7 outposts of this type established over the last 5 years. Finally, CVCs are also widening their presence with their number growing three times over the last 10 years, from 13 to 39 outposts.
The largest cluster for corporate innovation in Israel is, with no surprise, Tel Aviv, with more than one-third of the innovation outposts located there (74, 37% of the total) and 5 out of 7 Corporate Innovation Antennas. However, innovation-related activities are spread all around the Startup Nation and concentrate in a series of pulsing hubs like Herzliya (26 outposts, 13%) and Ra’anana (13%), Petah Tikva (11%) and Haifa (8%). While in Tel Aviv and Herzliya it’s possible to find a mix of outpost types, most of the other hubs show a predominance of R&D activities structured around larger teams and operations.