Israel's Tech Industry Unfazed Amid Escalating Hamas Conflict, Says Sony Semiconductor Israel

Published: November 17, 2023 at 11:03 am Updated: November 17, 2023 at 11:07 am

In Brief

Amidst the ongoing conflict between Israel and Hamas, Sony Semiconductor shared insights about the war’s current impact on Israel’s tech sector.

Israel's Tech Industry Unfazed Amid Escalating Hamas Conflict, Says Sony Semiconductor's VP

For decades, Israel’s high-tech sector has been a driving force behind the nation’s economic growth, responsible for 14% of employment and nearly a fifth of the gross domestic product. However, recent events have raised serious concerns about its stability.

Following the continued deadly attacks by Hamas militants from Gaza, concerns are mounting within its tech industry.

Amidst the ever rising tension between Israel and Hamas, Sony Semiconductor Israel shared valuable insights with Metaverse Post about the impact of ongoing conflict on the country’s tech business, society and broader Israeli community.

The company, renowned for its specialization in cellular IoT chipsets, stands as a testament to the resilience of the Israeli tech industry. Sony’s cellular IoT chipsets are the smallest and most integrated LTE CAT-M and NB-IoT solutions available, contributing to various industrial and consumer IoT applications, such as trackers, smart meters and wearables.

Many well-known tech investors describe the current situation as “a huge disruption to business as usual”, while others anticipate an “tremendous effort”, required to safeguard physical installations of companies based in Israel from potential attacks, especially since some technology spending is linked to the military.

In a recent conversation, Nohik Semel, CEO of Sony Semiconductor Israel, expressed profound concerns with Metaverse Post regarding the recent escalation of violence in the country.

“We are devastated by the Hamas attack on our country; the violence and cruelty perpetrated by terrorists is beyond human comprehension. Israel remains a resilient and united nation, steadfast in the face of adversity. We ardently hope for a swift and decisive resolution, as well as the safe return of all soldiers and civilians currently held hostage,” Semel told Metaverse Post.

The turmoil began after Hamas militants launched a surprise attack. The escalating conflict has disrupted normal business operations, and resources, including staff from tech companies, have been diverted — with employees being called up as military reservists.

Despite the challenging circumstances, Sony Semiconductor Israel said that it currently maintains its commitment to operational continuity, adhering to stringent security guidelines. The company confirmed that a portion of its workforce has been called to emergency reserve duty, reflecting the broader trend seen across Israeli companies.

But the chip company remains optimistic for a prompt conclusion to these tragic events. Sony said that with dedication of its employees both in Israel and globally, it does not anticipate any disruption to its business operations.

Sony Semiconductor’s Resilient Dedication to Protect Israel’s Tech Operations

The company shared details about its preparedness for navigating disruptions, emphasizing its experience with remote work arrangements and robust contingency plans. Sony Semiconductor Israel said it is striving to minimize the war’s impact on its business, which is important for both the short and long term.

“Our Israeli management is actively involved and lends a hand in day-to-day activities when people are absent, and we receive significant support from our teams abroad. This is the spirit of our company and our country – we help each other and deliver no matter the circumstances,” Dima Feldman, VP of Product Management and Marketing, at Sony Semiconductor Israel told Metaverse Post.

Feldman explained that from a logistical standpoint, the company’s operations (chip manufacturing, testing, assembly) are conducted outside of Israel and therefore, remain unaffected. He said that Sony has also
been able to balance its resources in Israel and other countries to support customers.

To aid survivors of the Israel-Hamas conflict the company said it has raised money among the employees. This money was donated to civil organizations supporting communities directly impacted by the
events. Sony also sent packages and letters to reservist soldiers and their families, which have had a surprisingly significant impact.

“All labs are automated, and most employees have a suitable working environment at home. Like any responsible organization, we have a business continuity plan with proper remote backups and
equipment at remote sites Our day-to-day operations are well-covered,” Sony Semiconductor Israel’s Feldman explained Metaverse Post. “What is more challenging is conducting face-to-face meetings with customers and participating in industry events, which are currently limited by the situation.”

However, he said the war has not had any impact on Sony’s current market, and that its products still remain as appealing and exciting to customers as they were before.

“Our operations are indeed global, and while they are managed from Israel with the help of our engineers both here and abroad, our supply chain does not physically involve Israel. It is managed through careful planning and diversification where possible, ensuring that recent events have had no impact on it,” said Feldman. “Once this conflict concludes, we need to ensure that we have a thriving business
ready to assist our society and country in their recovery.”

Feldman added that by continuing operations during these times, Sony Semiconductor Israel aims to demonstrate to large international companies that it is safe to invest in Israel.

In the face of adversity, the Israeli tech industry represented by companies like Sony Semiconductor Israel, continues to demonstrate its resilience and adaptability, ensuring business operations persist no matter how challenging the circumstances be.

Disclaimer

In line with the Trust Project guidelines, please note that the information provided on this page is not intended to be and should not be interpreted as legal, tax, investment, financial, or any other form of advice. It is important to only invest what you can afford to lose and to seek independent financial advice if you have any doubts. For further information, we suggest referring to the terms and conditions as well as the help and support pages provided by the issuer or advertiser. MetaversePost is committed to accurate, unbiased reporting, but market conditions are subject to change without notice.

About The Author

Victor is a Managing Tech Editor/Writer at Metaverse Post and covers artificial intelligence, crypto, data science, metaverse and cybersecurity within the enterprise realm. He boasts half a decade of media and AI experience working at well-known media outlets such as VentureBeat, DatatechVibe and Analytics India Magazine. Being a Media Mentor at prestigious universities including the Oxford and USC and with a Master’s degree in data science and analytics, Victor is deeply committed to staying abreast of emerging trends.
He offers readers the latest and most insightful narratives from the Tech and Web3 landscape.

Victor Dey