Message From The Team

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The Israeli tech sector bounced back in the first half of the year with the total amounts and number of deals up for the first time since 2021. A new report from IVC-LeumiTech shows Israeli startups raised $4.8 billion across 226 deals in H1. This includes a $1 billion round by Wiz, the Israeli cybersecurity company that reportedly received a $23 billion acquisition offer from Google this month. At F2, we have made a new startup investment every month, navigating this challenging but remarkable vintage for Israeli tech. Read more

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Sector Spotlight

This month a faulty CrowdStrike update caused one of the largest IT outages in history, exposing major vulnerabilities and disrupting critical sectors like airlines, healthcare and banking. This incident highlighted the fragility of our digital infrastructure but it also provided an opportunity for several F2 portfolio companies to shine.

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For example, Faye responded swiftly to airport shutdowns and flight cancellations to support thousands of active travelers en route while travel insurance incumbents struggled to restore operations. ABC News interviewed co-founder and CTO Daniel Green as events were unfolding.

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On other fronts, Parametrix - the only company in the world that has models capable of analyzing the spread of cloud-based outages - assessed $5.4 billion in direct financial losses from the Crowdstrike outage and was picked up by major media outlets around the world. Read more

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Portfolio News

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-Faye announces $30M Series B round to scale travel insurance and care platform. Read more

-Monto announces $9M seed round to streamline B2B account payables. Read more

-Parametrix featured on "Future 50" list of fastest-growing and most innovative companies of 2024. Read more

-Justt awarded "PayTech of the Year" at the 2024 Europe Fintech Awards. Read more

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What We Are Reading

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Zero to Billions: The Israeli Startup on the Verge of the Biggest Tech Exit in Years | The Wall Street Journal
‍‍Generative AI Can Help Transform Government Procurement | Deloitte‍
‍CrowdStrike's Troubles Open New Doors for Israeli Cyber Companies | Calcalist
‍‍NBA Strikes $77B TV Deals with Disney, Comcast and Amazon | Axios‍
‍Open Source AI is the Path Forward | Meta