Google to help fund Israeli AI firms, Palestinian startups

Google, the technology giant owned by Alphabet, has announced plans to invest a total of $8 million to provide support to both Israeli tech firms and Palestinian startups.

The move comes in response to the Israel-Hamas war, which has placed many small companies in the region under significant financial strain and made it difficult for them to secure funding.

According to Google, it has a $4 million support fund for AI startups in Israel and $4 million to be allocated to early-stage Palestinian startups and businesses to help them sustain their operations.

In addition to the emergency fund established by the Israel Innovation Authority following the outbreak of the war on October 7, Google’s grant to Israeli AI startups will provide further support. The fund targets companies facing a “short runway” with financing needs for up to six months.

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“In the current situation, quite a few startups in Israel are struggling to raise capital from investors and urgently need financial bridging to continue operating,” Google said in a statement.

Google has expressed its commitment to enhancing the potential success of approximately 20 startups specializing in AI solutions and services, adding that the specific number and size of the grants will be determined based on the requests received by the company.

Separately, in collaboration with local and global non-profit organizations, Google will extend loans and grants to support 1,000 Palestinian small businesses. Additionally, the initiative includes providing seed grants to 50 tech startups in Palestinian regions. The overall aim is to safeguard 4,500 jobs, as well as create new employment opportunities for Palestinians.

Google has contributed millions of dollars to support emergency efforts in Israel and humanitarian relief initiatives in Gaza.