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Israel Strengthens its Innovation Capacity in Artificial Intelligence and Speeds Up Integration of New Technologies.
On January 2, 2025, the Israeli Ministry of Defense announced the creation of a new research unit within the Directorate of Defense Research and Development (Mafat). This unit will focus on artificial intelligence (AI) and autonomy, as part of a broader strategy to enhance Israel’s technological and operational capabilities in response to evolving and multifaceted threats.
The initiative unites Israel's military, academia, startups, and defense firms to advance autonomous systems, reinforcing its leadership in technologies like the Harpy loitering munition (Picture source: Israel Aerospace Industries)
This new unit, unveiled on January 1, 2025, aims to centralize and advance AI and autonomous systems across Israel’s defense apparatus. According to Reserve Major General Eyal Zamir, Director General of the Ministry, this initiative represents a pivotal development in the preparation of future battlefields, where soldiers and autonomous systems will operate in close coordination. The initiative seeks to reduce human casualties, optimize resource utilization, and improve the speed of military operations.
The effort relies on collaboration between Israeli military branches, academic institutions, startups, and major defense companies. Daniel Gold, Head of Mafat, emphasized the importance of this unified approach to fostering a comprehensive ecosystem that connects researchers and operators. This aligns with Israel's continued efforts to maintain its leadership in autonomous weapons development, such as the globally recognized Harpy loitering munition.
In parallel, Israel has signed a significant contract with Israel Aerospace Industries to expand the production of Arrow-3 interceptors. These missiles, designed to counter high-altitude ballistic threats, have proven effective in recent conflicts, successfully intercepting Iranian missiles during attacks on April 14 and October 1, 2024. Since their first operational use on November 9, 2023, the Arrow-3 interceptors have demonstrated advanced capabilities, placing them among the most sophisticated interception systems worldwide. Although the contract is valued in billions of shekels, the exact number of missiles ordered has not been disclosed.
Additionally, Mafat has invested approximately $40 million in contracts with small and medium-sized drone companies, including the acquisition of an interceptor drone developed by Airobotics. This reflects Israel's growing reliance on drone technologies, a trend that has accelerated since the October 7, 2023, attack by Hamas, highlighting the need for rapid adaptation to modern warfare challenges.
The establishment of this AI and autonomy administration marks a significant structural evolution within the Ministry of Defense, as it is the first new entity of its kind in over two decades. General Zamir stated that the initiative is part of a strategic vision to sustain Israel’s military edge while preparing for future challenges.
Globally, leading powers like the United States, China, and France are also heavily investing in AI to enhance their military capabilities. These efforts target critical areas such as decision-making assistance, autonomous weapon systems, cybersecurity, and logistics. For example, the United States, through the Defense Advanced Research Projects Agency (DARPA), has allocated over $2 billion since 2018 to develop AI technologies for defense applications. Meanwhile, China has focused on autonomous weapons and advanced surveillance systems to bolster its strategic position. In Europe, France aspires to lead in military AI within the continent and rank among the top three globally.
These developments underscore a widespread recognition of AI's transformative potential in military operations, improving mission efficiency, speed, and precision while optimizing resources and minimizing risks to personnel.
The creation of this new administration illustrates Israel's commitment to integrating advanced technologies into its defense capabilities. The expansion of Arrow-3 production and investments in drones reflect a comprehensive approach to addressing emerging threats while strengthening the country’s technological and military foundations.