Conceiving New Industrial Systems: The Different Emergence Paths of the High-Technology Industry in Israel and Ireland, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-11

Dan Breznitz

Cite As:
Breznitz Dan. Conceiving New Industrial Systems: The Different Emergence Paths of the High-Technology Industry in Israel and Ireland, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-11 Haifa Israel: Samuel Neaman Institute, 2002. https://www.neaman.org.il/EN/Different-Paths-High-Tech-Industry-Israel-Ireland-STE-WP-11

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In the last decade, both Israel and Ireland have been on the forefront of a successful double revolution. In the international arena, the two small states have been the hotbeds of new technology based firms (NTBF) that establish themselves in global markets in the area of software and information technology, making the two states successful participants in the so-called biggest industrial revolution of our ages. In the domestic arena, the two statesâ€™ political and industrial landscapes, not models of industrial success since their independence in the first half of the 20th century, have been quickly transformed by an emergence of a new type of corporation and the financial and legal institutional structure it brought with it, the above mentioned Information Technology (IT) NTBFs.

This paper will evaluate and analyze the success of the Irish and Israeli high-tech industry, compare the very different development paths of the two industries, and present the dynamic historical dialogue between the state and private business that molded the industry. I argue that the two different histories of industrial growth and creation continue to shape the industry in the present, lend themselves to the very different models of corporation growth strategies of Irish and Israeli high-tech firms, and necessitate two different approaches of public policy to compensate and enhance for the different weaknesses and strengths of each model. Data for this paper was supplemented with 233 open-ended interviews with founders of NTBFs, managers of MNCs, VCs, civil servants, and academics conducted in Ireland, Israel, and the US between December 1999 and February 2002.

The paper is organized as follow: the first part is a short description of the Israeli and Irish High-Tech industries, which aims to show their significant growth in the last decade and the inherent differences in their composition. The second part presents the different history of industrial policies in Ireland and Israel. I contend that the Israeli stateâ€™s conscious aim was to develop an industry built around strong evolving internationally competitive R&D capabilities. Thus, the focus of the state in Israel was on developing R&D and innovation capacities throughout the innovation system, with a specific attention given to industrial R&D.1 In Ireland, meanwhile, the state intention was to develop an industry which will create a significant number of jobs, and the education and innovation systems were developed around that focus, i.e., viewed as a supply side subcategory of an overarching industrial policy planned around job creation.

I conclude by elaborating on my argument that these two very different industrial policies and the disparate continuing dialogues between industry and state that evolved as a result, gave rise to a distinct structure of NTBFs growth in each case. I also contemplate on the different weaknesses and strengths that these legacies left Ireland and Israel.

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Saul Lach , Robert M. Sauer

Sources of U.S. Longevity Increase, 1960-1997, Science, Technology and the Economy Program STE-WP-3

Frank Lichtenberg

R&D Policy in Israel: An Overview and Reassessment, Science, Technology and the Economy Program STE-WP-2

Manuel Trajtenberg

Do R&D Subsidies Stimulate or Displace Private R&D? Evidence from Israel, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-1

Saul Lach

Innovation in Israel 1968-1997: A Comparative Analysis using Patent Data, Science, Technology and the Economy Program STE-WP-5

Manuel Trajtenberg

Medical research in Israel a wake up call for the government before the next crisis

Tsipy Buchnik , Rinat Klein , Daphne Getz

Grand Strategy For Israel

Uzi Arad , Dror Strum , Zehev Tadmor

Economy and Society Adjustments to the Post-Corona Era: Recommendations

Gilead Fortuna , Avigdor Zonnenshain , Eitan Adres , Giora Shalgi , Yuval Neev , Rafi Nave , Ron Kenett , Tamar Dayan , Ofira Ayalon , Naama Shapira , Carmit Padan , Arnon Bentur , Shai Linn , Eli Eisenberg , Yossi Ben Dov

Perceptions of Technion Alumni and Students on Developing Their 21st Century Skills

Yehudit Dori , Rea Lavi , Marina Tal

The Governmental Initiative to Develop the Biomed Sector in Singapore – A Case Study

Daphne Getz , Avida Shoham , Eliezer Shein , Ella Barzani

Academia in the pandemia period

Arnon Bentur , Avigdor Zonnenshain

The world of engineering and engineers

Baruch Karp , Avigdor Zonnenshain , Arnon Bentur

Technological forecasting for scientific and technological human resources- final report 2020

Daphne Getz , Tsipy Buchnik , Vered Gilad , Ella Barzani , Ayelet Raveh

Promoting the leadership of Israeli industry in future technologies

Daphne Getz , Vered Gilad , Tsipy Buchnik , Oshrat Katz Shacham , Sima Tziperfal , Eliezer Shein , Ella Barzani , Noa Lavid , Eran Leck

Review of the challenges to the Israeli Industry and the business sector in the next decade

Gilead Fortuna , Yuval Neev

How to bring (more) Ultra-Orthodox students to science and technology studies? Summary of a Round Table meeting, 19.12.2021

Arnon Bentur , Reuven Gal

R&D Outputs in Israel / Analysis of Scientific Publications - 2021

Daphne Getz , Ella Barzani , Rinat Klein

Science, Technology, and Innovation Indicators in Israel: An International Comparison -2021 – Part a – Key figures

Daphne Getz , Tsipy Buchnik , Ilia Zatcovetsky

Science, Technology and Innovation Indicators in Israel: An International Comparison -2021 – part B

Daphne Getz , Tsipy Buchnik , Ilia Zatcovetsky

Technological forecasting for scientific and technological human resources- Mapping, Best practices, and Policy recommendation for multidisciplinary studies in Israel

Daphne Getz , Vered Gilad , Tsipy Buchnik

Engineering, Society and Environment

Baruch Karp , Avigdor Zonnenshain , Arnon Bentur

Self-efficacy, Interpersonal Skills and STEM Career Choice The Case of the FIRST Project

Yehudit Dori , Shahaf Rocker Yoel

Is there a Shortage of Academic Degree Holders in Science and Technology?

Benjamin Bental , Dan Peled

An Examination of the Collaboration between Industry and the Technion's Nanotechnology Infrastructure Centers

Daphne Getz , Vered Gilad , Bella Zalmanovich

Science & Technology Education in Israel: Selected Indicators for the Development of a Risk Management Strategy regarding Possible Future Shortages of S&T Teachers in Upper-Secondary Schools

Orit Hazzan , Tsipy Buchnik , Orly Nathan , Ayelet Raveh

High school high-level Physics in the last 4 decades 1975-2014 in Israel: Changes and implications

Eyal Sinai , Ruty Hanan , Orit Hazzan

Unique Characteristics in the Development of the Technion – Academic Excellence, National Contribution, Managerial Culture

Uri Kirsch

Science , Technology and Innovation Indicators in Israel: An International Comparison (Fourth edition)

Daphne Getz , Dan Peled , Tsipy Buchnik , Ilia Zatcovetsky , Ella Barzani , Eran Leck

A comparative study on the scientific and technological research in Israel and some middle eastern countries, using quantitative indicators, second ed

Yair Even-Zohar , Daphne Getz , Uri Kirsch

A comparative study on the scientific and technological research in Israel and some middle eastern countries, using quantitative indicators

Yair Even-Zohar , Daphne Getz , Uri Kirsch

Evaluating the Infrastructure Program of the Science and Technology Ministry

Daphne Getz , Vered Gilad , Oshrat Katz Shacham , Noa Zemer-Batsir

Mapping of National Research Infrastructures in Israel: updated mapping of Israel research infrastructures and international research infrastructures, which are used by Israeli researchers

Daphne Getz , Vered Gilad , Bella Zalmanovich , Oshrat Katz Shacham

From Research infrastructures mapping stage until research infrastructure roadmap - Review the experience of selected countries

Daphne Getz , Vered Gilad , Bella Zalmanovich , Oshrat Katz Shacham

Predictions for human resources in science and technology :Models and Indicators

Daphne Getz , Tsipy Buchnik , Bella Zalmanovich , Noa Zemer-Batsir

Survey and Database on Israel’s Scientific foreign Relations on a national and institutional level

Daphne Getz , Bahina Eidelman , Oshrat Katz Shacham , Ella Barzani , Golan Tamir , Eliezer Shein

Towards evidence based policy in science communication in Israel

Yael Barel , Ayelet Baram-Tsabari , Ran Peleg , Rony Armon , Ayelet Raveh

Clean Energy Innovation Policy in Israel: Identifying Fundamental Principles through a Case Study of Smart Grid Policy

Elad Shaviv , Mark E. Caine , Gershon Grossman

Dual Use of Space technologies and satellites

R&D Activity, infrastructures and human resources in the civil space sector: Academy, Industry and education system in Israel

Daphne Getz , Tsipy Buchnik , Bella Zalmanovich , Noa Lavid , Ella Barzani

Survey to examine difficulties of nano technology transfer from the academy to industry

Daphne Getz , Vered Gilad , Bahina Eidelman , Oshrat Katz Shacham

Together but Apart: ICT and Productivity Growth in Israel (STE-WP-41)

Saul Lach , Gil Shiff , Manuel Trajtenberg

Information and Communication Technology (ICT) Investments in Israel STE-WP-37

Gil Shiff

KNOWLEDGE-INTENSIVE PROPERTY RIGHTS (STE-WP-39)

Cristiano Antonelli , Morris Teubal

The Limits of Capital: Transcending the Public Financer - Private Producer Split in R&D (STE-WP-40)

Dan Breznitz , Amos Zehavi

What Affects Technion Faculty Members' Decision to Found a Start-Up Firm? Effects of the Business Opportunity and the Entrepreneur's (faculty)

Avi Fiegenbaum , Shane Scott , Miriam Erez , Oshrat Kremer-Srabstein , Moshe Givon

From Ivory Tower to Industrial Promotion:The Case of Yale University and the Biotechnology Cluster in New Haven, Connecticut, STE-WP-28

Shiri Breznitz

Start-up funding inefficiencies due to VC's Limited horizon, STE-WP-29

Eugene Kandel , D. Leshchinskii , Harry Yuklea

Evolutionary Innovation and High Tech Policy: What can we Learn from Israel's Targeting of Venture Capital STE-WP-25

Gil Avnimelech , Morris Teubal

Public vs. Private Technological Incubator Programs: Privatizing the Technological Incubators in Israel STE-WP-26

Amnon Frenkel , Daniel Shefer , Michal Miller

Monopolies in Competition:The Balance between Innovativeness and Competition in the Israeli Competition Law STE-WP-27

Michal S. Gal

Firm Growth Profiles (FGPs): Towards an Action-Based View of Firm Development STE-WP-24

Jonathan Menuhin , Niron Hashai

Can Venture Capital Funds Pick Winners? Evidence from Pre-IPO Survival Rates and Post-IPO Performance STE-WP-23

Yishay Yafeh , Hedva Bar

Immigrants in the Hi-Tech Sector: Comparison to Natives and the Effect of Training STE-WP-22-2004

Sarit Cohen Goldner , Zvi Eckstein

Innovation and the Limits of State's Power: R&D and Industrial Policy in taiwan in IC Design and Software STE-WP-21-2004

Dan Breznitz

Evolutionary Venture Capital Policies: Insights from a Product life Cycle Analysis of Israel's Venture Capital Industry, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-20-2003

Gil Avnimelech , Morris Teubal

A Micro-Economic Approach to Government Support of R&D Investments in the Private Sector, Science, Technology and the Economy Program (STE) - Workin

Dan Galai , Zvi Wiener

Universal Banking and Investment in R&D Intensive Companies an Empirical Analysis STE-WP-15 , 2002

Aharon Shaket

Incentives and Invention in Universities, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-18-2003

Saul Lach , Mark Schankerman

Financing R&D in Mature Companies: An Empirical Analysis, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-10

Asher Blass , Oved Yosha

A first look at Internet Business Methods Patents, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-12

Neil Gandal

Is Venture Capital Special? Empirical Evidence from a Government Initiated Venture Capital Market, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-9

Hedva Bar

Conceiving New Industrial Systems: The Different Emergence Paths of the High-Technology Industry in Israel and Ireland, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-11

Dan Breznitz

The Military as a Public Space - The Role of the IDF in the Israeli Software Innovation System, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-13

Dan Breznitz

Quantitative Growth Effects of Subsidies in a Search Theoretic R&D Modal, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-16-2002

Benjamin Bental , Dan Peled

The Determination of Success of R&D Projects: Evidence from American-Israeli Research Alliances, Science, Technology and the Economy Program STE-WP-8-2001

Oded Bizan

Cooperation and Competition in R&D with Uncertainty & Spillovers, Science, Technology and the Economy Program STE-WP-6

D. B. Silipo , Avi Weiss

Defense R&D and Economic Growth in Israel: A Research Agenda, Science, Technology and the Economy Program STE-WP-4

Dan Peled

R&D, Subsidies and Productivity, Science, Technology and the Economy Program STE-WP-7

Saul Lach , Robert M. Sauer

Sources of U.S. Longevity Increase, 1960-1997, Science, Technology and the Economy Program STE-WP-3

Frank Lichtenberg

R&D Policy in Israel: An Overview and Reassessment, Science, Technology and the Economy Program STE-WP-2

Manuel Trajtenberg

Do R&D Subsidies Stimulate or Displace Private R&D? Evidence from Israel, Science, Technology and the Economy Program (STE) - Working Papers Series STE-WP-1

Saul Lach

Innovation in Israel 1968-1997: A Comparative Analysis using Patent Data, Science, Technology and the Economy Program STE-WP-5

Manuel Trajtenberg

Environmental technologies - the green future

Ofira Ayalon , Avi Temkin

The global Environmental Market - An Economic Opportunity for Israel Primary model to assess the costs and benefits of governmental investment in the field of environmental technologies

Yitzhak Goren , Ofira Ayalon , Doron Lavi , Mark Sczabshvitz

Proceedings of conference- Business opportunities in Environmental Technologies

Ofira Ayalon

Space Technology, Patterns of Warfare and Force Build-up: Between a Power and a Small State

Deganit Paikowsky

Investments in Higher Education and Economic Performance: Israel in an international perspective

Amnon Frenkel , Eran Leck

The National Science and Technology Policy of Israel

Zehev Tadmor

Redefining Engineering Disciplines for the 21st Century

Zehev Tadmor

The Triad Research University Model or a Post 20th Century Research University Model, University Education and Human Resources

Zehev Tadmor

The Golden Age of Scientific Technological Research University

Zehev Tadmor

Interim Report of the Investigatory Team on the State of the Chemical Industry in Israel at the Beginning of the 21st Century

Gilead Fortuna , Yoram Avnimelech , Daphne Getz , Reuven Wachs , Ephraim Kehat , Zehev Tadmor

Science and Technology in the Israeli Consciousness

Eppie Yaar

The Ramifications of Technology Transfer Based on Intellectual Property Licensing

Niva Elkin-Koren

Data and Indicators on Aerospace Engineering, ICT and Biotechnology in Israel

Daphne Getz , Vered Gilad , Marian Shumaf - Tehawkho

The status of Israel and the Technion research in comparison to selected countries and institutes using bibliometrics indices

Daphne Getz , Marian Shumaf - Tehawkho , Yael Ilan , Gideon Czapski

Human Resources for Science and Technology in Israel - Selected Topics (summery)

Daphne Getz , Tsipy Buchnik , Bella Zalmanovich

Human Resources for Science and Technology in Israel - Selected Topics (Part B)

Daphne Getz , Tsipy Buchnik , Bella Zalmanovich

Human Resources for Science and Technology in Israel - Selected Topics (Part A)

Daphne Getz , Tsipy Buchnik , Bella Zalmanovich

Human Resources for Science and Technology in Israel

Daphne Getz , Tsipy Buchnik , Bella Zalmanovich , Marian Shumaf - Tehawkho , Sivan Frenkel

Evaluation of Israel R&D Plan

Daphne Getz , Vered Gilad , Eran Leck

Innovation 2012 An active industrial policy for leveraging science and technology and Israel’s unique culture of innovation

Gilead Fortuna

India-Israel Collaborative Business Innovation: An examination of its potential and forces that shape it

Gilead Fortuna , Gad Ariav , Liron Nadav , Naftali Moser

Evaluation of the NOFAR Program

Daphne Getz , Vered Gilad , Eran Leck , Iris Eyal , Miriam Asotsky

Outputs in Israel: International Comparison of Scientific Publications, 1990-2011

Daphne Getz , Avishag Gordon , Noa Lavid , Yair Even-Zohar , Iris Eyal , Ella Barzani

Israeli R&D Output: international comparison of scientific publications

Daphne Getz , Yair Even-Zohar , Bella Zalmanovich , Eran Leck , Gideon Czapski

ICT in Agriculture: Perspectives of Technological Innovation

Ehud Gelb

Policy on Levering Stem Cell Research through Intellectual Property

Daphne Getz , Niva Elkin-Koren , Bahina Eidelman , Miriam Asotsky , Bella Zalmanovich , Yair Even-Zohar , Yael Bergman-Eshet , Sharon Bar-Ziv , Talya Ponchek , Dalit Sagiv

Artificial Intelligence, Data Science, and Smart Robotics- First report

Daphne Getz , Oshrat Katz Shacham , Rinat Klein , Roey Tzezana , Shlomo Rosenberg , Avida Shoham , Ella Barzani , Eran Leck , Sima Tziperfal

Artificial Intelligence, Data Science, and Smart Robotics- First report summary

Daphne Getz , Oshrat Katz Shacham , Rinat Klein , Roey Tzezana , Shlomo Rosenberg , Avida Shoham , Ella Barzani , Eran Leck , Sima Tziperfal

Science , Technology and Innovation Indicators in Israel: An International Comparison (Six edition)

Daphne Getz , Tsipy Buchnik , Ilia Zatcovetsky

Artificial Intelligence, Data Science, and Smart Robotics Companies-Survey

Daphne Getz , Oshrat Katz Shacham , Rinat Klein , Roey Tzezana , Shlomo Rosenberg , Avida Shoham , Sima Tziperfal , Ella Barzani , Eran Leck

Technological forecasting for scientific and technological human resources

Daphne Getz , Tsipy Buchnik , Oshrat Katz Shacham , Eliezer Shein

Indices for Science, Technology and Innovation in Israel and international comparison. Key Figures

Daphne Getz , Tsipy Buchnik , Ilia Zatcovetsky

R&D Outputs in Israel / Analysis of Scientific Publications - 2020

Daphne Getz , Rinat Klein , Ella Barzani

Measurement of performance parameters in the Israeli Industtry

Gilead Fortuna , Reuel Shenar

Benford’s Law: A survey of its varied applications

Shlomo Maital , Ella Barzani

Strategic Competition – U.S. China 2022 – An Israeli Perspective

Gilead Fortuna , Shlomo Maital , Ella Barzani , Tamar Dayan

Absorption of Senior Israeli and Foreign Researchers in Israeli Universities

Daphne Getz , Avida Shoham , Eliezer Shein , Ella Barzani

Advancing the acquisition of competencies, knowledge, skills, values and attitudes in the education chain

Eli Eisenberg , Arnon Bentur , Avigdor Zonnenshain , Tamar Dayan , Inna Zertser

Home: Milestones in Shaping a Policy for the Return of Residents to their Homes at the End of the War

Meirav Aharon Gutman , Yaron Yavelberg , Gil Rabivo , Galit Wellner , Yael Eylat Van Essen , Moran Koren , Ron Kenett , Ido Rom , Nili Shchory , Maayan Shiri , Golan Tamir

Advanced Manufacturing

Avigdor Zonnenshain , Gilead Fortuna

Knowledge flow in Technological Business Incubators: Evidence from Australia and Israel

Tzameret Rubin

Science , Technology and Innovation Indicators in Israel: An International Comparison (Third edition)

Daphne Getz , Dan Peled , Tsipy Buchnik , Ilia Zatcovetsky , Yair Even-Zohar

Improving the role of Counselors for Advancement of Women's Status in academia in achieving better gender representation

Idit Salomon , Daphne Getz

National Strategy for Framing and Prioritizing Environmental Protection Research and Development Topics

Ofira Ayalon , Adi Wolfson , Daniel Madar , Naama Shapira , Maayan Zerbib Tsion

Science , Technology and Innovation Indicators in Israel: An International Comparison (Fifth edition)

Daphne Getz , Dan Peled , Tsipy Buchnik , Ilia Zatcovetsky , Eran Leck , Ella Barzani , Tzameret Rubin

Science , Technology and Innovation Indicators in Israel: An International Comparison (Third edition) English version

Daphne Getz , Dan Peled , Tsipy Buchnik , Ilia Zatcovetsky , Yair Even-Zohar

Science , Technology and Innovation Indicators in Israel: An International Comparison (second edition)

Daphne Getz , Dan Peled , Yair Even-Zohar , Tsipy Buchnik , Sivan Frenkel , Marian Shumaf - Tehawkho , Solly Peleg , Nava Brenner , Ora Shay , Galya Yohai