Israel is positioning itself as a global leader in artificial intelligence by focusing on practical applications that address real-world challenges, the head of the National Artificial Intelligence Directorate in the Prime Minister’s Office said on Tuesday.
Speaking at the Eli Hurvitz Conference on Economy and Society hosted by the Israel Democracy Institute, Maj. Gen. (res.) Erez Eshel outlined a national strategy designed to accelerate Israel’s AI capabilities and strengthen the country’s economic and strategic position.
“The world is on the verge of a second writing revolution, a moment before a fundamental change in human history, and the State of Israel intends to be a global leader,” Eshel said.
According to Eshel, the government is advancing a broad national plan under the direction of the Israeli prime minister, who has identified artificial intelligence as a strategic priority for Israel.
“Prime Minister Benjamin Netanyahu has defined artificial intelligence as an area in which the State of Israel will be a global leader, and we intend to fulfill that mission,” he said.
Eshel argued that the model that helped build Israel’s high-tech sector over the past three decades is no longer sufficient in the AI era.
“The AI world requires us to rethink everything we have become accustomed to,” he said. “It demands deep training, long-term planning, and the construction of a local AI stack, with an emphasis on critical and sovereign infrastructure (Sovereign AI).”
As major powers invest heavily in foundational AI technologies such as advanced chips, energy infrastructure and large language models, Israel’s comparative advantage lies elsewhere, Eshel said.
“While the world’s major powers are engaged in a massive arms race over the foundational layers of AI—chips, energy and models—the entire world is still confused about what to do with it tomorrow morning,” he said.
“That is exactly where Israel’s advantage lies. The blue ocean of AI meets real life. The ability to inject intelligence into physical environments and real-life challenges—to take an airplane or an IV drip and make it smarter—is our critical growth engine.”
Eshel said Israel has already made significant progress since the establishment of the National Artificial Intelligence Directorate less than six months ago.
Among the achievements he cited were Israel’s entry into the Pax Silica global AI alliance, a joint declaration with the United States on AI cooperation, and agreements with Azerbaijan, India and Argentina.
He also pointed to plans to provide advanced sovereign computing power by 2027, expand academic training programs in artificial intelligence, encourage Israeli AI experts abroad to return home, and establish a national platform focused on practical AI solutions for challenges facing citizens in Israel and around the world.
“We have entered the global AI club, which is increasingly closing its doors,” Eshel said. “We will not be satisfied with adopting models. Israel will shape the applications of tomorrow.”
