STKI Israeli Market Study 2024 final v1

Copyright@STKI_2024 Do not remove source or attribution from any slide, graph or portion of graph
STKI.INFO 1
STKI IT knowledge Integrators
Company Confidential
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STKI :
methodology and
how to
“understand”
the results
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Over 32 years of experience in the IT analyst sector and thousands of annual face-to-face
interviews with key industry participants have enabled STKI analysts to establish solid, long-
standing relationships with customers.
STKI customers include major IT organizations (government, defense, financial institutions,
telecoms, manufacturing, medical, education, etc.) and IT suppliers/vendors (infrastructure
and software suppliers, consulting and professional services firms).
STKI works closely with vendor’s senior management (strategy, business development, and
marketing).
Where end users are concerned, analysts meet with CEOs, CFOs, CMOs, CDOs and CIOs
(as with all levels of IT decision making) thereby attaining complete information of their
technology as well as their business needs in order to service the account with value .
STKI's mission is to advise and analyze users of business technologies as well
as their suppliers while conducting original research and providing advisory
services regarding all parts of the technology puzzle.
Founded in 1992, STKI is the leading business technologies
market research and strategic analyst firm in Israel.
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• Virtual meetings
• Face-to-face meetings
• STKI Analyst House
Calls (for both users
and vendors)
• CIO STKI "Help Desk"
• Inquiries
• Surveys
• Strategic Marketing &
Positioning
• Round Tables for users
• STKI Annual Summit
(Israeli Market)
• Weekly Webinars
• Vendor Discovery
Series (Newsletters
and workshops)
• Vendor Innovation
Workshops
• In-house Workshops
• CIO Annual Bootcamp
• CTO Annual Bootcamp
• Brainstorming
(based on Design
Thinking) Workshops
• STKI Annual Summit
(Trends)
STKI services include
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STKI Research Results:
1. IT Trends
2. Surveys about organizational issues
3. Round Table Summaries
4. Industry IT Budgets
5. IT Market Forecasts by category
6. Vendor Tiers by category
7. Product Positioning
8. Staffing Ratios
9. Other
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STKI Methodology: equilibrium model
The sum of all enterprise’s (public, private & government)
IT expenditures (procurement budgets)
must be equal to all IT sales (from vendors).
most research firms are either
"demand-based"
(market information based on data from users of IT)
"supply-based"
(market information based on data from IT vendors).
STKI is one of few research firms using a complex equilibrium model
and the only one in Israel.
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In order to calculate the “IT Market”
(what is bought/sold in Israel)
What users bought?
From whom?
Why?
Technology
Users
Technology
Vendors
how much did they sell?
to whom?
for how much?
competitors?
10
Data from 2023 Data from 2023
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› Yearly revenues of hardware sales and hardware maintenance
› Yearly revenues of software subscriptions & licenses, software maintenance
› Differentiation between new projects and continuing projects (New projects count more)
› Distinguish between work done by the vendor's employees and work outsourced to other
vendors. The revenue should be transferred to the vendor actually doing the work.
› Differentiate revenues from projects done in fixed price, cost plus (SLA defined) ,
managed services and those done by staff augmentation (non-SLA) projects.
› Differentiate value of work done by high level internal professionals in a project versus
that done by staff augmentation employees in the clients IT department.
› We do not include any work/ products for OEMs and military non-IT projects.
Our study looks at any vendor value (products/services) sold to
enterprises (also government & security) in Israel; taking into
account the client’s view/mindshare of value delivered
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Some IT vendors in the study are:
• Private Israeli Companies
• Public Israeli Companies
• Subsidiaries of international companies
• Israeli companies connected to international companies
• Partly owned (by other IT companies)
• Divisions of IT Companies that are managed independently
In order to be part of our study companies have to participate in
detailed vendor briefings with our analysts and answer a detailed
survey; what they don’t have to do is be clients of our services.
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10Secure Cloudius HESTRIX NowSecure SPEEDVALUE
Artis
Multimedia
DCOYA
11Stream Cloudofthings Highnet NPTech Spider (Emet)
Asperii-
Aman
Dell
Technologies
2bcloud Cloudride HILAN Nutanix
SPIKEIT
(Emet)
ASUS Deloitte
3Bears Cloud Valley Hilan-Ness nVIDIA
SPINNAKER
SUPORT
ATERA denodo
5IVE CodeOasis
Hilan-Ness-
DxC
Oasis-Tech telrad splunk Aternity Designit
A10 CODEVALUE Hilan-NessPro OCTOPAI SQLink ATLASSIAN develeap
A2Z Cofense
Hilan-Ness-
Qlik
OCTOPUS SSP Atlassian
Direct
Experts
(DEX)
ABP Consultancy
Israel
Cognit
Hilan-We
Ankor
ODI STKI
AUTOMAT-
IT
DIT
deggendorf
institute of
technology
abra Cohesity
Hitachi
Vantara
odoo
StrategiClear
Consulting
AUTOMATI
ON
ANYWHERE
DMway
Accelario Collibra HMS okta
Strauss
Strategy
AutoMonX DnA-IT
Accenture Comax HMS C-Way OMC Stulz AVAYA Docomotion
Accesslayers Portnox Comda
Holistic -
ZOHO CRM
Omega Israel SUPERMICRO CSG (Tibco)
Global
Data Center
Acoustic Commit HP ONE SYGNIA CloudAdvise GlobalLogic
Acronis
commit data
by Valinor
HPE ONE - Pivotal Synerion Cloudbeat Google
ACS Commugen HubSpot onelogin synopsys CloudCheckr Granulate
Actifio Commvault I.E.Mittwoch oNet Systems SysAid CloudEdge
Great
(Digital
Partners)
Adobe compie IBM OpenLegacy sysdig
Cloud'em
(Emet)
GRSEE
Advantech complete
IBM
Innovation Lab
Opentext (Micro
Focus)
SYSEC CLOUDERA G-STAT
Afek Systems ComposeDoc icloudius Opisoft (SQLink ) sysnet CloudFabrix HashiCorp
Agile Experience Comsec
icoNduct
(Emet)
Opisoft-Genius
(SQLink)
Systematics
CLOUDFLAR
E
HCL
Agile Spirit
Comsec By
Hub Security
ICS security OPSWAT. SysTrack HDS HCL Unica
agilepoint CONFLUENT ICTBIT Oracle tadiran telecom Normative MongoDB
AgileSparks Consist IDC Oracle Consulting Taldor applitools
DATA
PARTNERS
Kaleidoo
by Bynet
Pulse Secure
(Ivanti)
Trustnet AVCS DoiT
KPMG R&D
Edge
quilliup ui
KALITVI
API
Solutions
PUREPEAK
TSG IT
Advanced
Systems
AVNET Dorcom (Emet) kubecost Radiflow UiPath
Kamedia
PURESTORAG
E
tufin balink DOR-IT kyndryl Radvision
Unicloud
(Emet)
KEYSIGHT Puzzlehead TutIT soft BARMOR (Emet) Dr Agile Lenovo radware
Unitask
(Emet)
Kiteworks PwC
Tvuna
(SQLink)
Barracuda druva Liacom
RANCHER
BY SUSE
UXVision
KMC
Pyramid
Analytics
Twilio-Aman
Bay Bridge
Digital
dynatrace Lightbits Rapid7
Valour
Solutions
KMS-Aman
Qesem
Consulting
Twingo by
Commit
BCG E2m Linnovate RAZ-LEE ValuePlus
KMT
Qlik -
Attunity
twodo BDA Projects E4D LIOR LURYE RBS Solutions VANTIQ
KnowBe4 Qlik - Talend TZUR BDO Easy Qlik logiCloud Reblaze VARONIS
KnowEdge QMASTERS
USER
ACCESSIBI
LITY
BDO - Meteor
EasySec
Solutions
Log-On Red Hat VAST Data
KONFIDAS QUALITEST UBTECH Be2See (Emet) EDEA LogRhythm
RED
BUTTON
Veeam
NEWAGE snowflake
Zigit
(SQLink)
Be-Digital
edgeconnex
(Global DC)
Lotem redis Veidan
new relic
Snow
(Software)
ZIPCOM BeLocal edp MADSEC Rels VeNotion
nextcom snyk ziv systems Bezeq Elad Magalcom Renaissance
Veracity
(Emet)
NGG Softimize ZOHO Bezeq Int elastic MAGENOFEK RESCANA VERITAS
MYND
(NGSOFT)
SOFTPRO zscaler BGATE Electra magic
RESOLVE
Systems
(Ayehu )
VIRGONET
NICE Software AG CloudHealth Biconix ELK
Make
(formerly
Integromat)
Rewire
(before was
Micompany)
vision.bi
NICE RPA Solaredge CLOUDIAN
BigFix by
INTEGRITY
SOFTWARE
EMEREST MalamTeam Rimini Street vmware
nintex
SOLARWIND
S
HEAD-ON Bileader EMET ManageEngine Rittal VOTIRO
Nintex
Kryon
Sonatype
(Nexus)
Spanning BIT PLUS Energy Team marmanet RiT Tech
walkmaze
(application
care)
nipendo SOPHOS NOGAMY Biyond EnsureDR MAROON riverbed
WebFocus
by Tibco
Servicenow Yael NetCloud Specterx BIZ AID ENTROPHY
matan
consulting
Rivery
WEBISCOP
E (by Aman)
ITNAVPRO ProcessGene
TriggerPlus
Software
BlackBerry equalum Matrix Rockwell webtech
Vendors
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ivanti Profisea Triple C BMC ERA
matrix
2Bsecure
RSA
WEDO
(Emet)
Jenkins PROLINK TripleCyber BO ERGO matrixDnA
Rubicone (a
Red Hat
boutique)
WECHANGE
JFrog Prologic TripleT boomi ericsson matrix Bi rubrik WEKA
Juniper proofpoint
TRIPP-
LITE (by
Eaton)
B-PRO ermetic
Mavkyim
Software
Solutions
RUCKUS WEKU
k2view
Passler AG
(PRTG)
TRUNOVAT
E
Brillix eset mce SafeBreach WERTECH
KAKADOTE
CH
ptc Trust iT BROADCOM Eshnav-Aman McKinsey SailPoint
WHITE-
HAT
NAYA Tech SingleStore
YAZAM
TECH
BROADCOM -
Cloud Health
Eternity-
Aman
MedOne Salesforce wideops
NEBIUS Sinopia YOUCC Brocade evo-it MedSec
Salesforce-
Tableau
WINNER
CODE
(Emet)
neo4j sisense yoyo BUGSEC
EVOLUTIONI
T
MENAHEL 4
YOU
SALT WINIT
Netalizer SIT Y-tech bulwarx EVOLVEN mendix
Saninteractiv
e
WIZ
NetApp
SKYBOX
(Security)
zadara BunkerSec Ewave Methoda SAP workato
Netcraft
SMARTBEAR
Software
Ze
ZEBRIUM
Business &
Decision
EXAGRID MIA (SAS)
SAP -
Emarsys
WSO2
netskope Smart IT
Zemingo
(Emet)
Bynet Experis Microsoft sas
Xioma (Top
Group)
IPSec PMZONE Top Group Bynet Cloud Experity MicroStrategy
Sasa
Software
Yael Group
IPV
Security
PNMsoft
Top Group -
Panorama
Byon IT
Solutions
EY
MIDLINK
(Emet)
I Sciforma
Yael
Business
Applications
IRONSCAL
ES
portnox Train Mate C4 Systems ez-ROI MilestoneZero SDS
Yael
Infrastruct
ure
irox PractiProject
Trellix
(Mcafee)
Calanit by ONE f5 MILGAM Securenet
Yael All
Data
IT solutions PRIMSEC Trello Calcom FADDOM mindU SecuriTeam Yael IFN
it Assist Priority
TREND
MICRO
CALLBOX FBC MINICOM
See-
Security
College
Yael
Smartsoft
ITCC (IT
Care
Center)
Proceed
(HMS)
TRAID
Security
(by Yael
Group)
Capito Fibernet mobideo Sela Yael Triad
MSP
Sheket
Technologies
Yael
Korentec
Carmelon FireEye mobisec Semperis
Yael
Consienta
MySP SIGA
Yael
Korentext
CATO
NETWORKS
FMR moblin SenseCOM
Yael
CloudTech
Nagich by
click
Signature-IT
Yandex
Cloud
celigo force majeure model9 SentinelOne
Yael
Opsguru
moveo
SEVENTH
DIMENSION
Yael
Integration
Cellcom Forcepoint modelZ
SEPIO
(cyber)
Yael
Acceptic
KPMG Quest UCL CGS FORTINET
Vendors
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Infrastructure Products &
Services
servers X86
Legacy (non-x86)
Data Appliances
HCI appliances
Window PCs (Notebook &
Desktops) Enterprise only
Non window's PC's
Enterprise only
Enterprise Storage : Disks
(HHD and SSD)
Enterprise Storage Tape
Libraries, VTL Backup and
other storage Appliances
Enterprise Networking
Security / Cyber Appliances
VoIP/Call Center Equipment
Call Center as a Service
Data Center Physical
Equipment
Off-site Data Center: Co-
Location; Hosting (Client
owns the HW)
POS , Robot , Self Service
(ATM/Kiosks/other)
General Purpose Cloud
Enterprise Consumption
Infrastructure & System Software
(including storage software)
BI and Data Discovery Tools
data platforms (SQL, NoSQL dbms)
Data Mgmt. Tools (including
data catalog, governance,
ETL, quality)
Cloud data platforms (SQL, NoSQL
dbms)
Data Science and ML/AI
Tools
AppWEB Server, Emulation, ,
BRMS APaaS (container platforms)
Integration Streaming
ERP
IT Operations, Asset Management,
APM, AIOPS Monitoring, Workload-
Scheduling ITSM, Service Desk
vertical / core applications
FinOps tools CRM
Endpoint related tools HR/ Talent Mgmt./ LMS
NetworkWeb cloud services (FW,
WAF, ddos services , etc.)
Marketing Automation
Software
data content related tools (DLP, DB
FW, DLP Halbana, etc.)
Contact Center and Multi
channel engagement tools
(Chatbots, Virtual IVR,
Video, Voice, etc.…)
cyber management tools (SIEM
tool, Incident responds,
automation)
E-Commerce and
Marketplace Platforms
Zero Trust including identity,
access, SDP software defined
perimeter, SASE (secure access
service edge) IDM, Access
Web Content Management
Platforms
Cloud security protection tools
(CNAPP CSPM CASB)
PLM Systems
Other cyber tools (secure
development, awareness etc.)
Blockchain platforms
Project & Portfolio Management RPA Platforms
Development tools, ALM, DevOps
for all environments (including
Mobile)
BPM Platforms
Low Code tools IOT tools and platforms
Governance, Risk & Compliance
GIS, WMS, transportation
tools
Regulation
banking, insurance and
other financial market
software
Office productivity (office calendar,
mail etc.), KM (Enterprise Portals,
ECM, Search, Knowledgebases
tools)
Digital Output
Management/Customer
Communication Management
Employee Collaboration, Task
Management & Engagement Tools
Software Products (usage fees, licenses,
subscriptions, SaaS and maintenance )
IT Strategy Consulting
PPM & Project
management
Finance Industry
Core Projects
Organizational Transformation
Consulting
(organizational models, change mngt,
product mng consulting, agile
consulting, methodologies etc.)
ALM & Development &
Testing tools
implementation
Transportation
Data & AI Strategy Consulting
(organizational data structure,
methodologies, data architecture
planning, finding use cases, literacy )
ERP Implementations
Public (COVID19 &
post 7/10)) Projects
IT Infrastructure & Cloud Consulting
HR & Talent Mngt &
Payroll Implementations
e-payments
Projects
Application Projects Consulting CRM Implementations Retail Projects
Customer Experience & Digital
Consulting
(customer journeys, Customer
Experience consulting, service design,
Digital consulting) - doesn't include UX
ITSM Implementation
Public
(government)
modernizations
Intelligent Automation & Process
Optimization
E-Commerce and
Marketplace
Implementations
Location Based
Projects
PMO/ OCIO Consulting
Marketing Automation
Implementations
Self-Service &
Robots Projects
Cyber Security Consulting
Advanced Analytics,
Data Science and ML
projects
Tele-medicine
Projects
Software Maintenance (3rd party)
GenerativeAI and LLM
projects
Complete and/or
application
outsourcing (Client
owns the HW)
Hardware Maintenance (3rd party)
Data management
implementation (quality,
ETL, catalogs...)
Infrastructure
Outsourcing
(infrastructure,
storage mngt, DBA
services)
Consolidation/ Virtualization/
Containers /Monitoring/ Storage/
Hardware/ Networking Projects
BI implementation /
development
Call Centers/Help
Desk Outsourcing
Services
Software Integration (Middleware, SOA,
APIMNG )
Data & Analytics Cloud
migration (enterprises)
(help in migrating DW
and Data Lakes to the
cloud)
FINOPS Services
Cyber Security Product
Implementations
General Software
Development
Cyber Security
Services (MDR,
Threat
Intelligence, etc.)
Unified Communication Projects (IM,
Video, Voice)
Product Design ( UX) SIEM as a Service
Consolidation/ Virtualization/
Containers /Monitoring/ Storage/
Hardware/ Networking Projects /
DEVOPS
Professional Education,
Coaching & Mentoring
CISO as a SERVICE
Software Integration ( Middleware,
SOA, APIMNG )
SW Testing & QA
Backup as a Service
& DRaaS
Cyber security product
implementations
Fruition &
Implementation (‫)הטמעה‬
Printing
Outsourcing
Services (pay per
click)
Unified Communication Projects (IM,
Video, Voice)
Regulation Projects
Business Services
as a Service- BSaaS
(Salaries,
Payments, BPO,
etc.)
Cloud Migration end to end Projects
(including SW development)
Governance, Risk and
Compliance
Management
Near shore
Technological Innovation Projects
Contact Center and
Multi channel
engagement projects
Off shore
Automation tools (RPA, OCR)
Implementations
Employee
Collaboration, Task
Management &
Engagement Tools
Implementations
Staff Augmentation
(gulgalot)
Blockchain projects
Knowledge Management
(ECM, Portals, Search,
Knowledgebases)
Implementations
IoT Projects
Value Added Servic es (professional service s)
Infrastructure
Products &
Services
Software
Products
(usage fees, licenses,
subscriptions, SaaS
and maintenance)
VAS
Value Added Services
(professional services)
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Calculating rankings of 710
vendors in 150 categories
based on:
1. Vendor Briefings
2. Survey Results (vendors)
3. Survey Results (user
mindshare)
4. Analysts' knowledge of
vendor value to users
5. Data of 32 years
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Manufacturers/Software Houses, Distributors, VARs
NO double bookings for IT Market Size Forecasts
Resellers (VARs) get credit only for their value added unless the
manufacturer/software house is not present in Israel, then they get full credit.
Integrators and other Value-Added Service Providers get credit ONLY for the
“services-work” they CONTRIBUTED TO THE PROJECT.
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DISTRIBUTORS (usually are not shown in our study) are
intermediary reseller entities; between the original
MANUFACTURERS OF HARDWARE PRODUCTS or SOFTWARE
HOUSES and other entities in the distribution channel (VARs
and INTEGRATORS).
VALUE-ADDED RESELLERS (VARs) offer third party software
and hardware to the end user or integrators at a markup,
along with a limited combination of procurement
consulting, configuration, and customization services (shown
in sections INFRASTRUCTURE and/or SOFTWARE)
INTEGRATORS offer professional’s services (consulting,
developing, implementing or sourcing manpower) in order
to deliver enterprise computer services to the organization.
(shown in section VALUE ADDED SERVICES ).
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“Israeli Positioning” for products
NOT a technological or functional positioning and SHOULD NOT be used as
such. This positioning is intendent to reflect ONLY THE DEGREE to which a
product is PRESENT AND SUPPORTED IN ISRAEL
Focused on the enterprise sector (not SMB)
 X axis (Market Presence):
Installed base; New sales; Mindshare
 Y axis (Local ISRAELI Support):
Number and quality of support experts; localization; local R&D
 Vendors to watch: New players that only recently entered the market
and therefore cannot be evaluated against longtime players
 Global leaders: marked according to international analyst firms
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Israeli Product Positioning Slides
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Israel
economy, business
activity
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THE ISRAELI BUSINESS WORLD IS CHANGING
companies must do more with less (and fast)
Old Business Cycles
New Business Cycles
Frequency
New cycles come faster
Amplitude
New cycles have
greater volatility
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• The Israeli economy recovered from some of the worst effects of the war in Gaza at the start of the
year, returning to growth after a heavy setback in the final months of 2023.
• The Central Bureau of Statistics said in an initial estimate that the Israel GDP grew at an annualized
rate of 14.1% in Q1 2024 from the prior three months, just shy of a Reuters consensus of 15.3%.
• The rise marked a significant recovery from a contraction of close to 22% in the last quarter of 2023,
which followed Palestinian group Hamas' October 7 cross-border attack on southern Israel and the
IDF’s subsequent ground invasion of Gaza.
• The shock derailed nearly two years of continuous growth in the Israeli economy. Israel’s military
operation in Gaza has continued to persist into 2024, and attacks by both military and settlers in the
occupied West Bank have escalated.
• The war has precipitated severe labor shortages within Israel, compounded by the mobilization of
Israeli citizens for military service and the barring of Palestinian workers from entering the country.
• Despite the ongoing war, which includes continued Israeli operations in Gaza, northern Israel and
escalating violence in the West Bank, many economic indicators such as private consumption and
investment have shown signs of recovery, though they have not returned to pre-war levels.
Military spending continues to inflate public consumption figures.
Israel GDP grows by 14% in Q1 2024 after slump in late 2023
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28
The terrorist attacks and the subsequent war have hit Israel’s economy,
Which is projected to grow by 1.9% in 2024 before picking up by 4.6% in 2025. Private consumption rebounded quickly and is set to remain an
engine of growth, together with government consumption related to the war. Investment and especially construction, which declined sharply late in
2023, are projected to recover only in part, remaining below their October 2023 levels, as influxes of foreign workers do not fully compensate the
suspension of Palestinians’ work permits. Inflation is projected to remain at 2½ per cent in 2024-2025, as the impact of the 2025 VAT increase
offsets ongoing disinflation.
Disinflation will allow policy interest rates to be cut in 2024. Nevertheless, greater sovereign risk and the rise in government spending call for prudent
monetary and fiscal policy. Permanently higher military expenditure needs to be funded by a combination of revenue-generating measures and
spending restraint, whilst preserving programs that underpin future growth such as education and research. The planned value-added-tax rate
increase in 2025 should be supplemented with a streamlining of exemptions.
The attacks and subsequent war have wide-ranging economic consequences
The attacks on Israel of 7 October 2023 and the subsequent war have deeply impacted the Israeli economy. Schools and many services closed for
three weeks. The suspension of work permits for Palestinians and the departure of many foreign workers halved the number of non-Israeli workers
from 6.7% of employment before October 2023 to 3.5% at the end of 2023. Homebuilding consequently declined by 53% in the fourth quarter
compared with the previous quarter, and overall investment shrank by 26%. Foreign labor shortages are also weighing on farming. The enlistment of
340,000 reservists (7.2 % of employment) weighed on activity across the economy including in the high-tech sector. Government consumption
however soared by 17% in the fourth quarter of 2023 due to military operations. Credit card purchases, which expanded strongly in December 2023
and the first quarter of 2024, point to a rapid recovery in private consumption.
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STKI.INFO 29
29
Trade was also severely disrupted,
with exports and imports both shrinking in the last quarter of 2023. Following resumptionof industrialactivity after the October production shutdowns, goods
exports rebounded in early 2024. Service exports have been more sluggish especially foreign tourism, which has been mostly halted. The 2023 fall in global
food and energy prices contributed to the disinflation process prompted by policy interest rate increases from 0.1% untilApril 2022 to 4.75% in May 2023. The
annualconsumer price inflation rate was 2.7% in March 2024, down from 5.0% in March 2023
Economic policy is responding to the war
Fiscal policy is being reviewed to adapt to new requirements. The very large amount of war and associated expenditure has contributed to the move from a
budget surplusof 0.4% of GDP in 2022 to a deficit of 4.1% of GDP in 2023. This deterioration, together with greater perceived country risk, led credit rating
agency Moody’s to downgrade Israel’s sovereign rating in February. Israel’s sovereign credit default swap rate has remained half a percentage point above its
pre-October 2023 levels since November 2023. A key part of the authorities’ response has been to find new sources of revenue includingby increasing the
VAT rate from 17 to 18% in 2025. There is also restraintin non-military spending, one example being cuts in convalescence pay in 2025. Looking beyond the
immediate cost of the war, military spending is set to rise permanently by at least half a per cent of GDP.
Headline and core disinflation together with a stable currency opened the way for the central bank to start an easing cycle. The Bank of Israel cut its main
policy rate from 4¾ to 4½ per cent in January 2024. Easing inflationary pressures are anticipated to allow the central bank to implement three further 25 basis
point cuts to bring its key rate to 3¾ per cent by the end of 2024 and in 2025.
Consumption is driving the recovery
Output is set to expandover 2024-2025 under the impetus of strong government and private consumption and a partialrecovery of investment. Construction
is projected to recover only partly from the depths at the end of 2023, holding back investment and imports, as foreign workers replace only some of the
Palestinianswhose work permits have been suspended. Homebuilding is anticipated to account for about 4% of GDP by end 2025 against 7% in the third
quarter of 2023. Labor shortages are also set to weigh on farming activity. Foreign tourists are assumed to start returning to Israel towardsthe end of 2025.
Prices are projected to keep mildly decelerating, as the economy operates slightly below full capacity and lower global energy and food prices pass through
the economy, even if the VAT increase is going to pushup headline prices.
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STKI.INFO 30
30
Risks are high.
The opening of a northern front in the current conflict would halt consumption and further disrupt economic activity, generating a slump similar to
the one observed in late 2023 and considerably exacerbate budget pressures. Furthermore, failure to attract enough foreign workers could result
in the construction and investment recovery being weaker than projected. On the other hand, construction and overall investment could expand
considerably more than projected if influxes of foreign workers are large enough to compensate the shortages that followed the suspension of
Palestinian work permits, or if this suspension is reversed. A peaceful resolution of the conflict would also boost growth, including through the
resumption of foreign tourism and stronger investment, while easing budgetary pressures through lower military expenditure and a reduced
sovereign risk premium
Fiscal adjustment and monetary stability are needed to keep the economy on track
The large government spending shock created after the attacks and the subsequent war can only in part be absorbed through higher debt.
Permanently higher military spending calls for new tax revenue and spending restraint. In this regard, the choice of raising the general VAT rate in
2025 is welcome, as the current rate of 17% is relatively low by OECD standards and VAT is a form of taxation that implies comparatively limited
economic distortions. This measure should be accompanied by efforts to remove VAT exemptions, starting with the one applicable to certain
online purchases. Increasing residential property tax rates would also bring revenue whilst creating a more level playing field for municipalities
between commercial and housing development.
Expenditure restraint would best preserve future prosperity by using spending reviews to identify programs to cut, scale back or reform. Examples
to consider for cuts include subsidies that weaken incentives to join the labor market. Spending restraint however ought to leave sufficient funding
for areas, such as education, that are particularly important to a country with strong demographic growth and an economy whose dynamism
depends on the knowledge-based high-tech sector. Whilst disinflation leaves space for some monetary easing, monetary policy must remain
prudent to maintain favorable funding conditions for the government and the economy.
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31
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32
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STKI.INFO 33
33
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STKI.INFO 34
34
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STKI.INFO 35
‫לנפש‬ ‫גולמי‬ ‫מקומי‬ ‫תוצר‬
Gross Domestic Product per Capita
Page 35

STKI.INFO 36
Expected Slice of GDP for TOTAL Military Expenditures in 2024
50 billion USD
(estimate)
Page 36

STKI.INFO 37
How we check our economic forecasts
Page 37

STKI.INFO 38
Page 38

STKI.INFO
The Melnick State of the Israeli Economy Index
increased by 0.3 percent in April 2024.
• THE BUSINESS SECTOR continues to grow although the level of economic activity has not yet returned to pre-war levels.
• THE REVENUE IN COMMERCE AND SERVICES continues to rise and is the main factor for economic growth in the second
quarter of 2024.
• THE INDUSTRIAL PRODUCTION INDEX remains low and probably reflects a slow return to activity in the industry.
• THE IMPORT INDEX, corrected itself downward this month. It is possible that the jump in imports recorded the previous
month was temporary.
• THE NUMBER OF EMPLOYEE posts in the business sector remains unchanged and reflects stability in the labor market.
Page 39

STKI.INFO 40
Business Tendency Survey
Page 40

STKI.INFO 41
State-of-
the-
Economy
Index -
level
percent
change
Page 41

STKI.INFO 42
Page 42

STKI.INFO 43
43
Page 43

STKI.INFO 44
44
Israel: Consumer Confidence Index
Page 44

STKI.INFO 45
45
Israel is not alone
Page 45

STKI.INFO 46
46
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STKI.INFO 47
47
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STKI.INFO 48
48
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STKI.INFO 49
49
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STKI.INFO 50
50
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STKI.INFO 51
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STKI.INFO 52
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STKI.INFO 53
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STKI.INFO 54
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STKI.INFO 55
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STKI.INFO 56
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STKI.INFO 57
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STKI.INFO 58
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STKI.INFO
59
Trends
2024-2026
Page 59

STKI.INFO
60
• Hybrid Workspace & Workers
• Crisis Management Services & Tools
• Regularly modified & tested BCP
• Data Literacy Strategies & Self-service Analytics
• Outsourcing
• Staff Augmentation (especially offshore)
• Managed Services
• Full stack development:
• Microservices & Container Development
• Internal Development Platform (IDP )
• Progressive Web Applications (PWA)
• Low code (citizen developers)
• APIs & Composable Software (center office)
• DecSecOps
• Site Reliability Engineering (SRE )
• FinOps (software & managed services)
• IoT (Connected Sensors & Edge Infrastructure)
• Home, & Business Sensors
• Vehicle Sensors
• Health Sensors
• Procurement: Cloud/SaaS/Software/Hardware
• Moving perpetual to subscriptions licenses
• CAPEX to OPEX in IT Budgets
• Uniting NOC & SOC centers
• Four (4) Israeli-Based Hyper-scalers
• Local XaaS marketplaces
• Four (4) undersea cables (1/Q 2024)
• Smartphone capabilities
• Allways-on camera
• Seamless voice control:
• Wi-Fi 6 & 5G connectivity (10Gbps)
• Technical Debt should be paid:
• Old on-prem ERP to cloud
• Lift & shift
• New SaaS core apps
• Closing of on-prem Data Centers
• Co-location services
• Backup as a Service
• IaaS & PaaS services
• Digital in Scale Value Strategies
• Hyper-Personalization & concierge services
• Employee Empowerment & Customer Engagement
• Product-led Enterprise Organizations
• New Team Topologies
• Stream-aligned Teams
• Enabling Teams
• Data Teams
• Platform Teams
• Hybrid-cloud Core Technology Stack
• SaaS Enterprise Solutions as first choice
• Cloud First Development
• Open Industry (banks, insurance, health) Integration (APIs)
• Communication & Knowledge Software
• Cyber Tools
• Zero-trust ,SASE,, Automated Incident Investigation
• Digital Identity Enhanced Privacy
• Password Less Authentication,
• Ransomware Readiness, Multi Cloud Visibility
• Data Science & Intelligent Predictive Analytics
• Data Governance
• AI (GenAI ,Narrow AI))
• AI Literacy Strategies
• ML (Supervised, Unsupervised, Self-supervised)
• DL models ( Interpretability Risks, Compliance)
• Intelligent Automation
• Augmented Intelligence
• Business Process Optimization (theory of constraints)
• AI-enabled Enterprise Applications
• RPA, BPM tools
• Robotics
• Ecosystem Business Model
• Industry-specific Clouds
• Platforms & marketplaces
• Super Apps
• Quantum Computing
• Blockchain
• Cryptocurrencies
• Web 3.0
• AR/XR (augmented reality & extreme reality)) & Metaverse
Page 60

STKI.INFO 61
2024-2026 era of transformations
• Digital Transformation
• Data Transformation
• AI Transformation
• Cloud (infrastructure services)Transformation
• Cloud (software) Transformation
• E(verything)as a Service Transformation
• Intelligent Automation Transformation
• Human Transformation
• Others Transformation
61
There are three trends nobody talks about (people
trying to ignore them) but they influence everything
Page 61

STKI.INFO 6262
There are three invisible trends :
1. Technical Debt - outdated “everything "and
inability to integrate applications and/or
processes.
2. ⁠CapEx to OpEx - a shift from capital
expenditures to operational expenditures,
which has significant implications for
budgeting decisions.
3. Trust - the idea that a single vendor cannot
do the whole project.
Page 62

STKI.INFO 63
Invisible trend 1
“Technical Debt”
• Age of most senior manpower employees (that hold important
application software knowledge) is over 65
• Outdated infrastructure (software/ hardware)
• Outdated software (several versions behind latest vendor version)
• ERP and/or CRM
• Outdated data management tools (ETL, DW, BI)
• Core systems based on outdated technologies (not in itself broken
systems) but are critical to day-to-day operations
• Inability to integrate applications or processes (in-house or partners)
• Missing documentation
• Un-commented configuration
• Un-documented code changes
Page 63

STKI.INFO 64
Invisible trend 2
Page 64

STKI.INFO 65
• CAPEX is capitalized and depreciated or amortized over the life of the asset, whereas OPEX is
expensed in the accounting period it's incurred.
• CAPEX can improve the company's future earning capacity, while OPEX is necessary for the
daily functioning of the business.
• Both OPEX and CAPEX are crucial for a business's operation and growth, but they serve
different purposes and are treated differently for accounting and tax purposes
• CAPEX appears on the balance sheet (‫)מאזן‬
• OPEX appears on the income statement ( ‫דוח‬
‫רווח‬
‫והפסד‬ )
.
CapEx to OpEx
Israel’s Enterprises are behind most of the rest of the world in moving most IT
expenses from CAPEX to OPEX, although there has been a move (last 4 years) from
OPEX of 40%-50% to (in some cases) 80%-85%
Israel’s High-Tech and Startups are cloud native and by definition have OPEX IT
budgets
Page 65

STKI.INFO 66
Budgeting and Cash Flow: OPEX costs are typically predictable and spread evenly over time, which can aid in budgeting and cash
flow management. When getting software as a subscription, the opportunity to stop paying maintenance doesn’t exist, payments must
continue if the data it produced is needed. No vendor tolerance. The total cost of ownership (TCO) is higher over the long term
compared to perpetual license models.
Flexibility: With subscription models and cloud services, companies can easily scale up or down as their needs change. They can also
experiment with different tools without a significant upfront investment. NOT REALLY
Updates and Maintenance: SaaS and cloud providers typically handle updates and maintenance, reducing the burden on a
company's IT department.
Security and Compliance: Cloud services and SaaS platforms often have robust security measures in place, and ensure that
these services comply with all relevant regulations and standards ( companies also have to also install their own cloud security
products).
Instead of large, one-time capital expenditures (CAPEX) for software licenses and physical servers,
enterprises will be incurring ongoing operational expenditures (OPEX)
for subscription fees and cloud services.
This shift has several implications:
Page 66

STKI.INFO 67
Financial Metrics
• Profit Margins: An increase in OPEX could lead to a decrease in operating profit margins in the short term because these costs
are expensed when incurred, whereas CAPEX is spread out over several years through depreciation.
• Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA): This popular financial metric may decrease in the
short term due to the increase in operating expenses.
• Return on Assets (ROA) and Return on Investment (ROI): These metrics could improve because shifting to an OPEX model often
means fewer assets on the balance sheet.
• Cash Flow: Shifting to an OPEX model can lead to smoother and more predictable cash flows, since costs are spread out evenly
over time. However, total cash outflows may increase over the long term.
Tax Liabilities
• Immediate Expense Deduction: OPEX can be fully deducted in the year they're incurred, potentially reducing taxable income
and thus tax liabilities in the short term.
• Depreciation Deductions: With fewer CAPEX, there will be fewer assets to depreciate, which could increase tax liabilities
over the long term.
Stock Performance
• Profitability and Earnings Per Share (EPS): If the shift to OPEX leads to a decrease in profitability or EPS, this could negatively
impact stock price in the short term.
• Long-Term Growth Prospects: Investors may view the shift to OPEX positively if it signals a move towards more flexible, scalable,
and efficient operations, which could enhance long-term growth prospects and thus stock price.
• Market Comparability: If a company's shift from CAPEX to OPEX is more or less pronounced than its peers, this could
impact its comparability and thus how investors value its stock.
the shift from capital expenditures (CAPEX) to operational expenditures (OPEX)
significant implications for budgeting decisions :
Page 67

STKI.INFO 68
Today, time, money and
knowledge is lost because
different vendors do separate
parts.
We “should” have learned to
“either” trust the vendor for
consulting, implementation,
testing and fruition or we hire a
different vendor
Invisible trend 3
TRUST:“ why a single” vendor cannot should do the whole project ?
Page 68

STKI.INFO
69
Trends and recordings presented on the
webinar of 30/6/2024
https://www.stki.info/our-events
Page 69

STKI.INFO 70
Israel
number of
companies & IT
budgets by
Industry
Page 70

STKI.INFO 71
STKI’s analysts interviewed over 100 CIOs & VP
Techs in Israel (managing around 70-75% of IT
budgets) about:
1. Approved Budgets for 2024
2. Amount used in Budgets 2022-2023
3. Projects forecasted for 2024-2026
4. IT Department re-organizations
5. Vendors to recommend or not
Page 71

STKI.INFO 72
Number of Companies in Israel 2023
Page 72

STKI.INFO 73
Number of Companies 2023 (by Industry) page 1
100+ 75-100 50-74 40-49 30-39 20-29 10-19 5-9 1-4(2)
number of companies 4,415 1,650 3,360 2,629 4,204 8,610 25,046 47,135 216,557 313,606 370,550 684,156
Informationandcommunications 416 165 292 188 302 560 1,259 1,776 8,094 13,052 14,045 27,097
Telecommunications, computer programming and
consultancy and relatedactivities, information service
activities
391 160 278 172 286 519 1,158 1,590 7,070 11,624 11,175 22,799
Financial and insurance activities 78 30 49 35 57 157 515 1,365 7,572 9,858 8,481 18,339
Real estate activities 19 8 28 12 34 86 323 882 9,035 10,427 33,534 43,961
Professional, scientific and technical activities 220 120 250 216 321 883 2,972 6,394 41,511 52,887 85,152 138,039
Administrative and support service activities 409 105 235 149 196 430 1,055 1,801 8,027 12,407 13,015 25,422
Local, public and defence administration and social security 282 28 45 14 30 87 85 121 318 1,010 13 1,023
Education 433 158 271 205 315 511 1,170 1,702 5,721 10,486 14,350 24,836
Human healthand social work activities 421 103 179 114 175 321 1,017 2,255 14,170 18,755 37,448 56,203
Humanhealth activities 111 24 50 34 62 150 554 1,494 10,545 13,024 33,728 46,752
Residential care andsocial work activities 310 79 129 80 113 171 463 761 3,625 5,731 3,720 9,451
Arts, entertainment and recreation 79 44 90 71 114 241 685 1,039 5,113 7,476 18,415 25,891
Other service activities; extraterritorial organizations and
bodies
229 74 138 88 165 322 747 1,381 9,598 12,742 17,240 29,982
total active
business
(1) ‫כלכלי‬ ‫ענף‬ ‫לפי‬ ,‫פעילים‬ ‫עסקים‬ September 2023
Industry number of employees per company total
self employed &
companies without
employees
Page 73

STKI.INFO 74
Number of Companies 2023 (by Industry) page 2
Page 74

STKI.INFO 75
The trend towards software as a service (SaaS) and cloud-
based infrastructure is indeed
shifting the way companies manage and account for their
technology spending (CAPEX to OPEX)
Page 75

STKI.INFO 76
76
industry
Budgets
2018
change
from
2018
Budgets
2019
change
from
2019
Budgets
2020
change
from
2020
Budgets
2021
change
from
2021
Budgets
2022
change
from 2022
Budgets
2023
change
from 2023
Budgets
2024
change
from 2024
Budgets
2025
government $1,630 5.95% $1,727 -16.04% $1,450 4.14% $1,510
15.89%
$1,750
2.86%
$1,800
8.33%
$1,950
10.26%
$2,150
security $525 2.29% $537 2.42% $550 5.45% $580 17.24% $680 10.29% $750 20.00% $900 9.44% $985
education $292 4.45% $305 14.75% $350 17.14% $410 14.63% $470 -4.26% $450 2.22% $460 10.87% $510
health $350 -2.86% $340 14.71% $390 15.38% $450 6.67% $480 -4.17% $460 -1.09% $455 14.29% $520
utilities $215 -2.33% $210 11.90% $235 6.38% $250 4.00% $260 -19.23% $210 -4.76% $200 5.00% $210
transport $340 7.35% $365 10.96% $405 11.11% $450 22.22% $550 -3.64% $530 -3.77% $510 1.96% $520
banks $920 10.87% $1,020 -6.86% $950 -3.16% $920 6.52% $980 -7.14% $910 -3.30% $880 3.98% $915
insurance $405 3.70% $420 3.57% $435 3.45% $450 7.78% $485 -7.22% $450 -3.33% $435 9.20% $475
fin other $310 29.03% $400 12.50% $450 13.33% $510 13.73% $580 -3.45% $560 -5.36% $530 9.43% $580
manuf $875 -1.71% $860 -2.33% $840 7.14% $900 -2.22% $880 -7.39% $815 -2.45% $795 3.77% $825
retail $238 -3.36% $230 8.70% $250 18.00% $295 3.39% $305 -1.64% $300 6.67% $320 7.81% $345
high tech $842 7.01% $901 38.73% $1,250 32.00% $1,650 9.09% $1,800 -8.33% $1,650 -6.06% $1,550 8.39% $1,680
IT local vendors $165 9.09% $180 -2.78% $175 2.86% $180
1.11%
$182
-5.49%
$172
-6.98%
$160
-1.25%
$158
telecomm $230 13.04% $260 -5.77% $245 -6.12% $230 -6.52% $215 -6.98% $200 -7.50% $185 18.92% $220
media $180 11.11% $200 15.00% $230 8.70% $250 4.00% $260 -9.62% $235 -8.51% $215 16.28% $250
SMB/SME $410 -6.10% $385 -11.69% $340 17.65% $400 20.00% $480 -6.25% $450 -4.44% $430 11.63% $480
in M USD
$7,927 5.21% $8,340 2.46% $8,545 10.42% $9,435 9.77% $10,357 -4.01% $9,942 0.33% $9,975 8.50% $10,823
IT BUDGETS (cash-out NOT opex/capex accounting)includes some other expenses FORECASTED
Page 76

STKI.INFO 77
2018
change
from 2018
2019
change
from
2019
2020
change
from
2020
2021
change
from
2021
2022
change
from 2022
2023
change
from 2023
2024
change
from 2024
2025
industry
budgets
$7,927 5.21% $8,340 2.46% $8,545 10.42% $9,435 9.77% $10,357 -4.01% $9,942 0.33% $9,975 8.50% $10,823
IT market
totals
$6,903 9.88% $7,585 3.63% $7,860 10.62% $8,695 6.90% $9,295 -3.16% $9,001 3.02% $9,273 8.20% $10,033
internal
budgets
$1,024 -26.27% $755 -9.27% $685 8.03% $740 43.51% $1,062 -11.39% $941 -25.40% $702 12.54% $790
Internal Budgets variance can only be explained by economic
changes (corona, war, etc.) explained in previous chapters
Page 77

STKI.INFO 78
industry
Budgets
2024
% total
Market
size
% total industry industry
Budgets
2025
% total
Market
size
% total industry
government $1,950 20% government $2,150 20%
security $900 9% security $985 9%
education $460 5% education $510 5%
health $455 5% health $520 5%
utilities $200 2% utilities $210 2%
transport $510 5% transport $520 5%
banks $880 9% banks $915 8%
insurance $435 4% insurance $475 4%
fin other $530 5% fin other $580 5%
manuf $795 8% manuf $825 8%
retail $320 3% retail $345 3%
high tech $1,550 16% high tech $1,680 16%
IT local
vendors
$160 2% IT local vendors $158 1%
telecomm $185 2% telecomm $220 2%
media $215 2% media $250 2%
SMB/SME $430 4% $430 4.31%
SMB
SMB/SME $480 4% $480 4.43%
SMB
in M USD $9,975 100% $9,975 100%
in M
USD in M USD
$10,823 100% $10,823 103% in M USD
public
utilities/
transport
financial
manuf/
retail
high
tech/ IT
$400 4.01% $470 4.34%
telecom
m/ media
telecomm
/ media
$1,710 17.14% $1,838 16.98%
high
tech/ IT
$1,970 18.20% financial
$1,115 11.18% $1,170 10.81%
manuf/
retail
analysis of budgets 2024 & 2025
$3,765 37.74% $4,165 41.31% public
$710 7.12% $730 6.74%
utilities/
transport
$1,845 18.50%
Page 78

STKI.INFO 79
79
V2
2018 2019 2020 2021 2022 2023 2024 2025
Market
Health
Index
0.58 0.63 0.67 0.64 0.61 0.55 0.49 0.47
Page 79

STKI.INFO 80
OPPORTUNITIES according to IT Budgets
government $2,150
high tech $1,680
security $985
banks $915
manuf $825
fin other $580
health $520
transport $520
education $510
SMB/SME $480
insurance $475
retail $345
media $250
telecomm $220
utilities $210
IT local
vendors
$158
government $1,950
high tech $1,550
security $900
banks $880
manuf $795
fin other $530
transport $510
education $460
health $455
insurance $435
SMB/SME $430
retail $320
media $215
utilities $200
telecomm $185
IT local
vendors
$160
Page 80

STKI.INFO 81
Expected Slice of Government IT Budgets 2024*
percent
of
government
it
budgets
Page 81

STKI.INFO 82
Expected Slice (2) of Government IT Budgets 2024*
percent
of
government
it
budgets
Page 82

STKI.INFO 83
Israel
IT Market Forecasts
(statistics)
Page 83

STKI.INFO 84
84
Values in Million USD
IT Market 2018-2026
Page 84

STKI.INFO 85
IT Market 2018-2026
Values
in
M
USD
Page 85

STKI.INFO 86
IT Market 2018-2026
Values
in
M
USD
Page 86

STKI.INFO 87
Israeli IT Market 1989-2026
Inflection points
Page 87

STKI.INFO 88
IT Market 1989-2026
Inflection points
Page 88

STKI.INFO 89
Israeli IT Market 2018-2024
Values
in
M
USD
Page 89

STKI.INFO 90
Israeli IT Market (% change) 2018-2026
Page 90

STKI.INFO 91
Israel
Infrastructure Product
Markets 2024
”vendor rankings”
Page 91

STKI.INFO 92
Infrastructure Market 2018-2026
Page 92

STKI.INFO 93
TOP VENDORS: Hardware-Infrastructure Markets
Infrastructure Suppliers Infrastructure VARS
Page 93

STKI.INFO 94
Infrastructure Categories (pages)
95
124
106
103
119
112
Page 94

STKI.INFO 95
Servers & Appliances
Market 2018 - 2026
Page 95

STKI.INFO 96
SERVERS X86
Page 96

STKI.INFO 97
Servers X86 VARs
Page 97

STKI.INFO 98
Servers X86 VARs
Page 98

STKI.INFO 99
General Purpose Intel Server - market presence 2024
Market Presence
Local
Support
DellEMC
HPE
CISCO
Lenovo
Fujitso
Page 99

STKI.INFO 100
Legacy (non-x86) Computer Systems
VARs
Page 100

STKI.INFO 101
Data Appliances
Page 101

STKI.INFO 102
HCI Appliances
Page 102

STKI.INFO 103
Clients (enterprises only)
Market 2018-2026
Page 103

STKI.INFO 104
Window PCs (Notebook & Desktops) Enterprise only
Page 104

STKI.INFO 105
Non window's PC's (MAC IPADS)
Enterprise only VARS
Page 105

STKI.INFO 106
Enterprise Storage
Market 2018-2026
Page 106

STKI.INFO 107
Enterprise Storage Disks
(HHD & SSD)
Page 107

STKI.INFO 108
(HHD & SSD) VARs
Page 108

STKI.INFO 109
(HHD & SSD) VARs
Page 109

STKI.INFO 110
Enterprise Storage Tape Libraries,
VTL, FC Switches, Backup & other Storage Appliances
Page 110

STKI.INFO 111
Israel enterprise high end for critical systems storage
market presence 2024
Market Presence
Local
Support
EMC
IBM
NETAPP
Hitachi
HPE
The fact that one vendor is located
next to another doesn’t mean they
are similar in terms of
functionality/technology.
Infinidat
Page 111

STKI.INFO 112
Networking, VoIP/Call Center,
Call Center as a Service, Security Appliances
Market 2018-2026
Page 112

STKI.INFO 113
Enterprise & Data Center Networking
Cisco
Page 113

STKI.INFO 114
Enterprise & Data Center Networking VARs
Page 114

STKI.INFO 115
Security/ Cyber Appliances
Page 115

STKI.INFO 116
Security/ Cyber Appliances VARs
Page 116

STKI.INFO 117
VoIP / Call Center Equipment
Page 117

STKI.INFO 118
CALL CENTER as a SERVICE
Page 118

STKI.INFO 119
Data Center Equipment , Co-location Services,
Self Service (POS, Robot, Self Service, ATM, Kiosks)
Market 2018-2026
Page 119

STKI.INFO 120
Data Center Physical Equipment
Page 120

STKI.INFO 121
Data Center Physical Equipment VARs
Page 121

STKI.INFO 122
Off-Site Data Center, Co-location, Hosting
(client owns the HW)
under construction
Page 122

STKI.INFO 123
POS, Robots (enterprise use only) & other SELF SERVICE
(ATM, KIOSKS, OTHER)
Page 123

STKI.INFO 124
General Purpose Cloud Enterprise
Consumption
Market 2018-2026
Page 124

STKI.INFO 125
General Purpose Cloud Consumption
Page 125

STKI.INFO 126
Cloud on premise for Israeli Enterprises- market presence 2024
Market Presence
Local
Support
AWS
Outpost
HPE
Greenlake
Oracle cloud
@ customer
This diagram is not
“apples to apples”
comparison – it contains
all kind of DC located
“public cloud”
Dell Apex
Microsoft Azure
Google
Anthos
Page 126

STKI.INFO
12
7
Israel
Software Product
Markets 2024
”vendor rankings”
Page 127

STKI.INFO
128
Software (on-prem & cloud)
Market 2018-2026
Page 128

STKI.INFO
129
TOP VENDORS: Software Markets
VARs
Software Companies Software VARS
Page 129

STKI.INFO
130
SOFTWARE CATEGORIES (pages)
131
137 158 171
179
184 189 205 225
141
Page 130

STKI.INFO
131
System, Storage & Data Platforms
Market 2018-2026
Page 131

STKI.INFO
132
Infrastructure & System (including storage)
Software
Page 132

STKI.INFO
133
Israel enterprise backup market presence 2024
z
Market Presence
Local
Support
Veeam
Commvault
Cohesity - Veritas
DellEMC
Rubrik
Brands in
backup – SW,
backup
appliances (not
“apples to
apples”)
Arcserve
HCL (TSM)
Vendors to watch:
Microfocus
HPE (new solution)
Page 133

STKI.INFO
134
Data Platforms (SQL, NoSQL, dbms)
Page 134

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Cloud-based
Page 135

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Cloud-based
Page 136

STKI.INFO
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Middleware Tools
Market 2018-2026
Page 137

STKI.INFO
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AppWEB Server, Emulation, , BRMS, APaaS, container
platforms ,Integration Streaming
VENDORS
Page 138

STKI.INFO
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AppWEB Server, Emulation, , BRMS, APaaS, container
platforms ,Integration Streaming
VARs
Page 139

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Israel enterprise on premise (+cloud) container platform
Market Presence
Local
Support
Redhat (IBM) openshift
Broadcom tanzu
SUSE Rancher
HPE EZMERAL
Amazon EKS Anywhere
Vendors to watch:
Google-Anthos
Page 140

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IT Management & Operations
Tools Market 2018-2026
Page 141

STKI.INFO
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IT Operations, Asset Management, APM, AIOPS Monitoring,
Workload-Scheduling ITSM, Service Desk
VENDORS
Page 142

STKI.INFO
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IT Operations, Asset Management, APM, AIOPS Monitoring,
Workload-Scheduling ITSM, Service Desk
VENDORS
Page 143

STKI.INFO
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IT Operations, Asset Management, APM, AIOPS Monitoring, Workload-
Scheduling ITSM, Service Desk
VARs
Page 144

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Israel ITSM (Help Desk Tools) market presence 2024
Market Presence
Local
Support
BMC
That’s IT
Servicenow
Sysaid
Broadcom
Atlassian
ManageEngine
ITCC Freshdesk
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Israel enterprise Observability (monitoring) market presence 2024
Market Presence
Local
Support
Dynatrace
Broadcom
IBM
This diagram is not
all kind of Observability
types: infra (traditional),
APM, AIOPS, MOM,
Discovery, Cloud, etc.
BMC
Datadog
New Relic
Cisco (+splunk)
Servicenow
HCL
Opentext
ManageEngine
Riverbed
Elastic Solarwinds
PRTG
EGInnovations
Faddom
Centerity
Cloudfabrix
Page 146

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Israel enterprise job scheduling market presence 2024
Market Presence
Local
Support
BMC
Broadcom
(CAAutomic)
IBM/HCL
Page 147

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Israel enterprise job scheduling Selected Integrators
Integrators
Israeli Rep.
Product
Vendor
Matrix
BMC
Control-M
BMC
Ness Pro
Broacdom Israel
Automic
Broadcom
Matrix, Emet
IBM
IBM/HCL workload manager
IBM/HCL
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Brands in API Management (with on premise option) –
market enterprise presence 2024
Market Presence
Local
Support
IBM
Google
Broadcom (layer7)
WSO2
Vendors to
watch:
Redhat (3scale)
Tyk
KONG
Microsoft
Oracle
SalesForce (Mule)
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Israeli API Management (with on premise option) selected integrators
Integrators
Israeli Rep.
Product
Vendor
Matrix, Ellipsis
IBM
API Connect
IBM
Yael Software
Google Israel
APIGEE
Google
Yael Software
Mashary
Tibco
Matrix
Redhat Israel
3Scale
Redhat
Ness Pro, Emet
Ness Pro
Layer7
Broadcom
SoftwareAG Israel
WebMethods API mng.
SoftwareAG
EL-AZ
Tyke
Open source
Page 150

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Brands in ESB - Israeli market presence 2024
Market Presence
Local
Support
IBMwith
SoftwareAG
Oracle
Tibco
WSO2
Matrix (MCX)
Magic
Qlik (Talend)
Informatica
Salesforce (Mulesoft)
Intersystems
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Brands in IPaaS - Israeli market enterprise presence 2024
Market Presence
Local
Support
WSO2
iConduct
Workato
Salesforce (Mulesoft)
Oracle
Snaplogic
Celigo
SAP
IBM
Microsoft
Make (Integromat)
Vendors to
watch:
Google
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Israeli application integration selected integrators
Integrators
Israeli Rep.
Product
Vendor
Matrix, Ellipsis
IBM
WMB Websphere Message
Broker
IBM
Ness Pro One
Iconduct
Iconduct
Iconduct
Yael Software
BusinessWorks
Tibco
Matrix
Redhat Israel
Fuse
Redhat
EladCRM, Deloitte Digital,
Malam Team, Allcloud, Yael
Group, Strauss Strategy
Workato Israel
Workato
Workato
One
SoftwareAG Israel
WebMethods
SoftwareAG
Malam One
Oracle Israel
OSB
Oracle
Malam
Magic Israel
XPI
Magic
Matrix
WSO2 Enterprise Integrator
WSO2
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Integrators in application integration / Cont.
Integrators
Israeli Rep.
Product
Vendor
Ness
OpenLegacy
OpenLegacy
OpenLegacy
Qlik Israel
Talend Integration
Talend Qlik
Aman
Informatica PowerCenter
Informatica
SangIT
Integrator.io
Celigo
One
Snaplogic IPAAS
Snaplogic
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Brands in ETL (Extract Transform Load)-
market enterprise presence 2024
Market Presence
Local
Support
Informatica
Qlik (Talend)
Microsoft
Oracle
IBM
Vendors to watch:
Equalum
bigbi.io
Snaplogic
Not including
CDC
Rivery
Salesforce (Mule)
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STKI.INFO
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Israeli ETL selected integrators
Integrators
Israeli Rep.
Product
Vendor
Aman Matrix
Informatica Israel
Informatica
Informatica
Smartstreams YaelSoft QLIK
Talend Integration
Talend
Twingo
Rivery ETL
Rivery
Malam, IBM, YaelSoft and
more
IBM Israel
Datastage
IBM
SQLINK
bigbi.io
Bigbi.io
One
Snaplogic
Snaplogic
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FinOps Tools
Page 157

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158
Security (Cyber) Tools
Market 2018-2026
Page 158

STKI.INFO
159
Endpoint related tools
Page 159

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Endpoint related tools
Page 160

STKI.INFO
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NetworkWeb cloud services
(FW, WAF, DDOS services , etc.)
Page 161

STKI.INFO
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Data Content Related Tools (DLP, DB FW, DLP (Halbana) etc.)
Page 162

STKI.INFO
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Cyber Management Tools
(SIEM tools, incident responds, automation)
Page 163

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Zero Trust including identity, SDP software defined perimeter,
SASE (secure access service edge) IDM, Access
Page 164

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Israel SASE for enterprises - market presence 2024
Market Presence
Local
Support
Netskope
Palo-Alto
ZSCALER
Checkpoint
(Perimeter81)
Cloudflare
Broadcom
ForcePoint
Fortinet
Vendors to watch:
Google Beyondcorp
Cato
Cyolo
Terrazone.io
CISCO
same positionning
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SASE Selected Integrators-providers in Israel
Integrators
Product
Vendor
One Spider, Qmasters, Trustnet, 2B,
Danet
Security Service Edge
Netskope
(lots)
Prisma Access
Palo Alto
Matrix
Cloudflare’s SSE & SASE Platform
Cloudflare
Internet-Bynet We-Ankor
Zscaler SASE
Zscaler
(lots)
Perimeter81
Checkpoint
Ness
Luminate
Broadcom
YouCC
FortiSASE
Fortinet
Bulwarx Trustnet Spider Malam
Forcepoint SSE
Forcepoint
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Cloud security protection tools (CNAPP, CSPM, CASB)
Page 167

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Israel APP SEC for enterprises - market presence 2024
Market Presence
Local
Support
Snyk
Vendors to watch:
Apiirio
Arnica
Synopsys
Checkmarks
HCL
OpenText Fortify
Veracode This diagram is not
all kind of tools from the
APPSEC landscape
SonarQube
Ox Security
Jfrog Xray
WIZ
Mend
Page 168

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other cyber tools
(secure development, awareness etc.)
Page 169

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Brands in Enterprise B2B Vaults (replacing Cyberark vaults)
Market Presence
Local
Support
GoAnywhere
BMC
Kiteworks - Accellion
Infobay
Page 170

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Project Development & Management Tools
Market 2018-2026
Page 171

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Project & Portfolio Management Tools
Page 172

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PPM Israeli Market Positioning– 2024
Market Presence
Local
Support
Atlassian
Jira
Monday
MySP
Microsoft
Schiforma
Trello
SAP PPM
Service Now
Actionbase
Commugen
Clarity PPM
Planview (Clarizen)
Vendor to watch:
Zoho
Page 173

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PPM Tools & Integrators in Israel
17
Integrators
Proceed (HMS)
Clarity PPM By Broadcom
Matan, Abra, DeePlan (PZ Projects)
EPM Microsoft
Methoda, Matrix, Practiproject, Abra, Proceed, Bynet
Attlasian Jira
Advanced Solution Partner: Abra, Boost; Platinum: Matrix, KPMG, ESL; Gold: Abra,
Moveo;
Silver: TWODO, Entry point
Proceed
Monday.com
ONE1
MySP
Top Group
Sciforma
Dicomano One, Deloitte, Bynet, Verdera
ServiceNow
Strategic Portfolio Management
SAP, Proceed, Matan, Malam other potential SAP integrators
SAP PPM
DeePlan (PZ Projects)
Clarizen
(Purchased by PlanView)
174
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Development, Mobile, ALM & DevOps
tools
Page 175

STKI.INFO
176
ALM (Application Lifecycle Management)-
Israeli market presence 2024
Market Presence
Local
Support
Atlassian
Microsoft
Microfocus
IBM/HCL
Broadcom (Rally)
Gitlab
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Israeli ALM selected integrators
Integrators
Israeli Rep.
Product
Vendor
Methoda, Matrix, practiproject ,
HMS-Proceed. Agilesparks
Jira, Confluence, Bitbucket,
etc.
Atlassian
NessPro
Rally
Broadcom
matrix qualitset vness
Microfocus Israel
QC, Octaine, etc.
Microfocus
ALM Toolbox
Gitlab
Gitlab
Matrix
sonatype
Page 177

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Low Code ( includes BPM) tools
Page 178

STKI.INFO
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EGRC & Regulation Tools
Market 2018-2026
Page 179

STKI.INFO
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Governance, Risk & Compliance Tools
Page 180

STKI.INFO
181
Governance, Risk & Compliance Tools
(VARS)
Page 181

STKI.INFO
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GRC 2024
Israeli Market Positioning
Market Presence
Local
Support
SAP
Service Now
Datricks
SAS
Jira
MySP
Actionbas
e
Commugen
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GRC Tools & Integrators in Israel 2024
Integrators
Global Players:
Malam, KPMG, Deloitte, Globicon, ONE, SAP integrators
SAP GRC
IBM Expert Labs, ABP, Malam, Matrix
IBM OpenPages
MIA, Entropy
SAS
Cognizant ,Bynet ,Deloitte ,Docomano One
Service Now
Methoda, Matrix, Partiproject, Abra, Proceed
Jira GRC
Integrators
Local Players:
Commugen
Commugen
Top Group, Deloitte
Actionbase
Datricks, SAP
Datricks
(Financial Integrity Platform)
ONE
MySP
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Knowledge & Collaboration Tools
Market 2018-2026
Page 184

STKI.INFO
185
Office productivity (office calendar, mail etc.),
KM (Enterprise Portals, ECM, Search, Knowledgebases tools)
Page 185

STKI.INFO
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Office Productivity and Knowledge Man. Tools 2024
(ECM, Portals, Search, Knowledgebases.. )
Market Presence
Local
Support
KMS Lighthouse
STKI’s work Copyright@2024. Do not remove source or attribution from any slide, graph or portion of
graph
Microsoft
IBM FileNet
Elastic
ServiceNow
Google
Monday
Open Text
Page 186

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Digital Output Management/Customer Communication Management
Page 187

STKI.INFO
188
Employee Collaboration & Engagement Tools
Page 188

STKI.INFO
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Analytics, Data Management, Data Science
and ML/AI Tools
Market 2018-2026
Page 189

STKI.INFO
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BI and Data Discovery Tools
Page 190

STKI.INFO
191
Business Intelligence 2024
Market Presence
Local
Support
Qlik
Microsoft
IBM
Presence & Support in Israel
Salesforce
Pyramid
Tibco
Microstrategy
SAS
SAP
Oracle
Panorama
Sisense
Domo
Thoughtspot
Google
Amazon
Page 191

STKI.INFO
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Business Intelligence (BI) - Part 1:
Page 192

STKI.INFO
193
Business Intelligence (BI) - Part 2:
Page 193

STKI.INFO
194
Data Mgmt. Tools
(including data catalog, governance, ETL, quality, CDP)
Page 194

STKI.INFO
195
Data Catalog, Data Governance
and Data Preparation Tools
Page 195

STKI.INFO
196
Digital Intelligence Solutions
Page 196

STKI.INFO
197
Data Science and ML/AI Tools
Page 197

STKI.INFO
198
Data Science ML Platforms 2024
Market Presence
Local
Support
SAS
IBM
Oracle
ClearML
Pecan
Red Hat Openshift AI
Nvidia AI Enterprise
Altair
Dataiku
Microsoft
Databricks
Iguazio
Algotrace
Google
Amazon
Alteryx
Earth (Evolution)
Page 198

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Data Science Platforms – Part 1:
Page 199

STKI.INFO
200
Data Science Platforms – Part 2:
Page 200

STKI.INFO
201
LLMs in Israel (partial list):
Meta’s open source LLM
LLaMA 3
Mistral’s open source LLM
Mixtral
Collaboration platform for Open
source models, libraries and
tools
Huggingface
Main Open Source LLMs used in Israel:
Page 201

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GenAI solutions and platforms in Israel
Page 202

STKI.INFO
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Data Fabric solutions in Israel
Data Virtualization Tools
Integrator
in Israel
Product
Yael
Tibco Data Virtualization
(acquired from Cisco)
Mia
Computers
SAS Virtualization
Aman
Computers
Informatica
Data Federation/Data Services
IBM Data Virtualization
Oracle
Oracle
Oracle Data Service Integrator
SAP
SAP Hana data virtualization
Aman
Denodo
Page 203

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Packaged GenAI solutions: coming soon!
Page 204

STKI.INFO
205
Enterprise Management Systems
Market 2018-2026
Page 205

STKI.INFO
206
ERP Packages
Page 206

STKI.INFO
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Enterprise ERP 2024 >10K Users
Market Presence
Local
Support
SAP
Oracle
Infor LN
eBusiness Suite
+
Oracle ERP
Cloud
ECC + S/4Hana
Global
Leader
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Mid-Market ERP 2024 Up to 10K Users
Market Presence
Local
Support
Priority
(+Zoom)
Oracle NetSuite
One1view
Comax
SAP B1
Matrix - Tafnit
Microsoft
QAD
STKI’s work Copyright@2024. Do not remove source or attribution from any slide, graph or portion of
graph
Hilan - Hashavshevet
Aviv
Kav
ERP Focus – Malam Team
SAP ByDesign
Page 208

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ERP Integrators Part 1
New Category
Page 209

STKI.INFO
210
ERP Integrators – Part 2
Page 210

STKI.INFO
211
CRM Applications
Page 211

STKI.INFO
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CRM Platforms 2024
Market Presence
Local
Support
Salesforce
Oracle
ServiceNow CSM
Megacenter
Pivotal
SAP
Microsoft
Pega Systems
Creatio
Odoo
Freshworks
Oro CRM
Zoho
Page 212

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CRM Packages (embedded AI) in Israel - Part 1:
Page 213

STKI.INFO
214
CRM Packages in Israel - Part 2:
Page 214

STKI.INFO
215
Multi Channel Platforms
Page 215

STKI.INFO
216
HR/ Talent Mgmt./ LMS APPLICATIONS
Page 216

STKI Israeli Market Study 2024 final v1

STKI Israeli Market Study 2024 final v1

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STKI Israeli Market Study 2024 final v1