Sales in the Technology sector in 2008 stood at $21.3 billion or NIS 76,254 (using an exchange rate of NIS 3.58 per dollar). Compared to $20.6 billion in 2007 or NIS 84,666 (using an average exchange rate of NIS 4.11 to the dollar). Over 80% of Electronics and Software output is slated for export. The sector directly employs approximately 70,000 workers and approximately another 280,000 indirectly. In Q4 of 2008 thousands of high-tech workers were laid off, something that the industry had not experienced in many years.
Members of the Association
The Association is comprised of about 300 companies in the fields of electronics, telecommunications, semiconductors, medical devices, IT and software. Membership in the Association is open to any company dealing with design of electronics and software products having a minimum added value of 45% .Members of the Association include private companies public companies, government-owned companies' and multi-national companies.
Maintaining Israel's Competitive Advantage
IAESI strives to maintain the competitive advantage of Israel's electronics and IT sector in the face of increasing competition from India, China and the countries of the former Soviet Union. The Association has set a goal of increasing annual sales to $35 billion, most of which will be export oriented by 2013-2015.
In order to reach that volume of sales, the follow-ing must be implemented:
* Continuing quality manpower training through Israel's institutes of higher education and
technological education in high schools.
* Allocating the budget of the Chief Scientist for technological developments.
* Attracting multi-national corporations to Israel to invest in production.
* Setting up intermediary funds to invest in start-up companies in order to transform them into real industrial entities.