Defense-tech

A Natam report for the first half of the year points to a change in the demand map for offices: software and gaming companies are reducing space, while defense-tech, cyber, and defense industry companies are becoming the growth engine. In Tel Aviv, occupancy in prime towers is approaching 99% and rent is climbing; but outside of it, there has been a decrease in occupancy and prices.

While many tech companies are cutting staff due to AI adoption, defense-tech startups are actively expanding and increasing salaries. A GotFriends report attributes this to global security shifts and rising demand for defense technologies.