Machines That Think and Technology That Connects to the Human Body: Elbit, Ichilov and Others Enter the Deep-Tech Arena

Two New Tech Incubators Selected to Establish Companies in Physical AI and Human-Machine Interface

JERUSALEM, ISRAEL, September 17, 2026 /EINPresswire.com/ -- The Israel Innovation Authority today announced the selection of two new technology incubators that will establish deep-tech companies using a venture studio model. The two winning incubators, Augmenta Health Incubator and Intelligent Machine Labs – Foundry, will establish and grow new startups in the fields of Human-Machine Interface (HMI) and Physical AI. The Physical AI incubator is being coordinated with the AI Directorate’s initiatives at the Prime Minister’s Office.

As part of the competitive procedure, the Israel Innovation Authority selected two groups that will begin operating new technology incubators within approximately six months. The winning groups include major corporations and research institutions, including Elbit Systems, the Schestowitz Group, Ichilov Hospital and Bar-Ilan University, alongside venture capital investors including aMoon Ventures, Tene Capital, Opimpact, Siddhi Capital, SpringHill Venture Capital and Alpha Partners.

The startups established with the support of the incubators will receive joint investments from the incubators, additional investors and the Israel Innovation Authority through its Startup Fund. In addition, they will receive support from the incubators during their early stages and follow-on investments through dedicated investment funds that the incubators will make available to them. The startups will also receive technological and business support from the incubator teams and their shareholders, connections with experts throughout the value chain, introductions to strategic partners and additional investors in Israel and abroad, and access to laboratory infrastructure.

Gila Gamliel, Cabinet Member and Minister of Innovation, Science and Technology, said: “Israel is entering the global race for the next generation of artificial intelligence, moving beyond software that thinks to intelligent machines and technologies that connect to the human body. The new incubators represent a strategic investment in building the industries of the future in Israel and transforming our exceptional scientific and technological knowledge into groundbreaking companies. The connection between academia, industry, the healthcare system and private capital will enable us to grow companies in Israel in fields expected to reshape medicine, industry and technology worldwide. Our goal is to ensure that the technologies of tomorrow do not simply reach Israel, but are developed here, grow from here and become growth engines for the Israeli economy.”

Dror Bin, CEO of the Israel Innovation Authority, added: “The new incubators are a central component of the strategic effort to expand Israel’s deep-tech sector and build the next generation of Israeli growth companies. In fields where technological risk is high, the path to market is long and the number of specialized investors remains limited, a model is needed that brings together capital, infrastructure, deep expertise and strategic partners from the earliest stages. The selected incubators will strengthen Israel’s ability to grow companies in the fields where the industries of the future are being built and provide them with the runway they need from the idea and research stages through follow-on fundraising and entry into global markets. This is a significant step in the Authority’s strategy to diversify Israeli high-tech, increase the number of new companies and create new growth engines for the economy.”

Hanan Brand, Vice President and Head of the Startup Division at the Israel Innovation Authority, said: “Israel has no shortage of world-class applied science and breakthrough technologies. The challenge is turning many more of them into excellent companies. This has been the role of the Technology Incubators Program, which over the years has helped establish hundreds of breakthrough companies in Israel. With the updated model, we are adapting that role to today’s deep-tech challenges, which require a combination of significant capital, first-rate management and technology teams, and industry support from the moment a company is established. In breakthrough fields where there is still insufficient deal flow, it is not enough to wait for companies to emerge; we need to know how to create them. The new model is particularly attractive to venture capital funds and global companies, which can bring capital, expertise and an understanding of global needs and build new companies around them, with significant risk-sharing by the Israel Innovation Authority throughout the incubation process and into the early growth stages.”

The Winners
Augmenta Health Incubator – Selected to establish and operate a technology incubator in the field of HMI, serving as a leading center for the establishment, investment and advancement of deep-tech companies developing human-machine interfaces for healthcare, neurotechnology, robotics, bioconvergence and dual-use technologies. The incubator is built on an exceptional strategic partnership bringing together aMoon, Elbit Systems/Incubit, Ichilov, BIRAD (Bar-Ilan University) and Opimpact, offering a unique combination of clinical, technological, investment and industrial expertise. The model is based on active Venture Creation: identifying clinical and industrial needs, commercializing academic Know-How and establishing startups around breakthrough technologies. The incubator will operate an advanced HMI laboratory, provide access to leading research and clinical infrastructure, and provide entrepreneurs and companies with comprehensive support that includes business development, regulation, fundraising and strategic partnerships.

Intelligent Machine Labs – Foundry – Selected to operate a technology incubator in the field of Physical AI. The incubator consists of a synergistic consortium of venture capital funds and will provide companies with access to the expertise and Know-How of its shareholders, who have extensive experience in the field. The IMV incubator is a dedicated deep-tech incubator in the field of Physical AI for robotics and industrial automation applications, with the goal of positioning Israel as a leading hub for intelligent machines and autonomous systems. The incubator is based on a broad partnership that includes Tene Capital, SpringHill Ventures, Schestowitz Ventures, MassChallenge, Siddhi Capital and Alpha Partners, combining unique industrial and investment capabilities. The proposed model is based on identifying real industrial needs, establishing companies around them through an EIR program, providing support through an advanced development laboratory and testing infrastructure, and directly connecting companies with factories, industrial companies and global partners for pilots and rapid market deployment.

The winning groups will receive a five-year franchise and a grant of up to NIS 40 million per group for management fees and the establishment of the central laboratories that will serve the startups. During the franchise period, the incubators will establish dozens of new deep-tech companies, support them and invest in them. At the same time, the Israel Innovation Authority will participate through the Startup Fund in investment rounds for the companies established, alongside the incubators and additional investors. The model enables investment in companies from the Pre-Seed and Seed stages through Round A, with government participation of up to NIS 23 million per company.

The Israel Innovation Authority’s new Technology Incubators Fund is designed to establish and grow startups in complex, high-risk technology fields where the path from an idea to a mature company is particularly long and challenging. The incubators, established and operated by venture capital investors and companies both local and international, will lead Venture Creation & Growth processes based on identifying significant and validated needs in the global market and will support companies from the idea and initial development stages until they are ready to raise follow-on investments. Alongside capital investment, they will provide companies with professional support for product development and testing, technological proof of concept and pilots, with the goal of increasing the number of new startups in these fields and strengthening Israel’s early-stage investment market.

Raoul Wootliff
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