Israel Announces Funding for National Space Lab to Propel Local Technologies into Orbit
The Israel Innovation Authority and Israel Space Agency will invest NIS 40 million to build launchpad to send homegrown tech beyond Earth’s atmosphere
The Israel Innovation Authority and the Israel Space Agency at the Ministry of Innovation, Science and Technology announced today a NIS 40 million funding initiative to establish a national R&D laboratory that will serve as Israel’s launchpad for space-bound technologies. The lab will give both established companies and early-stage startups a viable route to space, with the program offering at least 35% off market launch costs to eligible companies.
As part of a joint funding program of the National Research Infrastructure Forum (Telem), the initiative is designed to boost Israel’s global competitiveness in the rapidly growing space sector. The new lab will allow Israeli companies of all sizes to test and validate technologies in real space conditions.
Gila Gamliel, Minister of Innovation, Science and Technology, said: “Israel must remain a global leader in innovation and science, even beyond our atmosphere. Investing in a national launch lab will enable Israeli companies to validate technologies in real space conditions, strengthen Israel’s standing in the international space arena, and create a significant growth engine for the future of Israel’s economy.”
Dror Bin, CEO of the Israel Innovation Authority, said: “Launching Israeli technologies into space will propel our space industry to the forefront of global innovation. We are removing regulatory barriers for Israeli space companies, enabling them to scale quickly and significantly.”
Uri Oron, Director of the Israel Space Agency, said: “Once again, Israel proves it is not afraid to dream big. The laboratory to be established will become a launch window for the next generation of Israeli innovation, making space accessible not only to large corporations but also to entrepreneurs and academia, helping them demonstrate the strength of Israeli technology in the global market.”
The selected bidder will be awarded up to NIS 40 million in government grants, covering 55% to 66% of total project costs, depending on the selected investment program. The new or expanded infrastructure will deliver end-to-end services, including R&D, mission planning, system integration, satellite launch, operations, and data analysis. Over a three-year period, the lab is expected to launch at least 15 dedicated Israeli payloads into orbit.
The space tech hub will also serve as a springboard for a full innovation ecosystem, which will support early-stage ventures, facilitate regulatory and licensing guidance, advance partnerships with global aerospace players, and accelerate research collaboration between academia and industry.
The call for proposals is now open to industrial entities and user groups. Full details are available on the websites of the Israel Innovation Authority and the Israel Space Agency. The final deadline for submission is September 17, 2025.