PayPal’s reported purchase of Israeli cybersecurity firm CyActive is the latest example of the growing influence of the Israeli cyber market on the U.S.
According to multiple Israeli media outlets, the secure online payment service is dropping $60 million to purchase CyActive, which predicts what malware hackers are going to invent next.
The Israeli cyber market has exploded in recent years, analysts explained to The Hill.
“I wouldn’t be lying if I said I saw two new cybersecurity startups a week,” said Israeli-based venture capitalist Adam Fisher of Bessemer Venture Partners.
Israel’s Unit 8200 within the Israel Defense Forces has trained world-class hackers that are starting to enter the private sector after finishing their required military service.
“In Israel the best and the brightest are going through the intelligence services and then looking for ways to build something commercial afterward,” said David Cowan, also a venture capitalist with Bessemer, who has been travelling to Israel searching for cyber talent since 1995.
While Silicon Valley is throwing money at former National Security Agency (NSA) employees, many NSA cyber staffers are career government workers.