Technion alumni: The driving force of the Israeli economy
Neaman Institute study reveals: Over the past two decades Technion alumni became founders or managers of 1,600 companies that generated over $30 billion and created some 100,000 jobs throughout Israel
Last Thursday, 1,732 graduates of the Technion Class of 2015 received their bachelor’s degrees and joined the 100,000 alumni who have studied here over the past eight decades. At the graduation ceremony Technion President Peretz Lavie revealed the results of a study led by Dr. Daphne Getz, to examine the impact of the Technion on Israel’s economy and society over the past 20 years. The study found that since 1995, 1,319 Technion graduates have been involved in the founding or management of 1,602 companies in Israel, over half of which (811) are still active today. These companies have generated revenues of over $30 million and have created 95,500 jobs.
“The nearly 100,000 alumni who have graduated from Technion over the generations are a unique and outstanding group that is at the fulcrum of Israeli industry,” Technion President Prof. Peretz Lavie told the audience at the ceremony. “Without them the advanced aeronautics and space industry would not have developed, nor the world-class high-tech industry. Without them we would not have robots for assisting in heart surgery, miniature cameras for diagnosing digestive tract ailments, life-saving drugs, desalination plants and water recycling plants and the Iron Dome and Magic Wand defense systems. All these wonderful accomplishments would not be possible without Technion and its alumni.”
53% of all the companies founded in the past 20 years are involved in the information and communication technology fields; 24% in life sciences; 8% in the semiconductor industry; and 6% in the cleantech sector.
35% of the 1,319 alumni who founded our managed companies graduated from the Faculty of Electrical Engineering; 21% from the Faculty of Computer Science; 12% from the Faculty of Industrial Engineering and Management; and 8% from the Faculty of Mechanical Engineering. 39% of the alumni have M.A. or Ph.D. degrees.
In addition, 169 Technion alumni founded or held senior positions in companies outside Israel, and 134 companies were founded based on knowledge generated by senior Technion staff. All told, over the past 20 years 1,905 companies have been founded in Israel and abroad with the involvement of Technion alumni, senior staff and knowledge originating from the Technion.
Of the 1,319 alumni, 902 founded and/or managed one company; 275 founded and/or managed two companies; 93 founded and/or managed three companies; 31 founded and/or managed four companies; one alumnus founded 12 companies and another founded 29 (!) companies.
The figures on the size of startups founded by Technion alumni also attest to their innovation and creativity: 79% of the companies founded are small, with fewer than 50 employees; 16% are medium-sized, with 50-249 employees, and 5% are large.
A closer look at this year’s graduating class reveals another interesting figure: the 1,732 graduates were awarded 1,841 degrees – because 108 of the graduates earned two degrees, and one of the graduates completed three degrees.