Israel Bilateral R&D Program 2026
Program Overview
The Bilateral R&D Incentive Program supports Israeli companies collaborating with foreign partners on commercialization-directed R&D projects. The Innovation Authority provides financial grants parallel to funding from foreign government entities, enabling risk-sharing and access to international technology expertise.
Matching Funding Structure
Israeli side: Innovation Authority grant matches foreign entity funding. Foreign side: Partner country's government provides parallel funding. Grant progression: Years 4-5 of project receive 30-40% of approved budget. Total 2025 funding: 142 requests submitted, 67 approved for NIS 42 million. Bilateral structure enables risk-sharing between two governments.
Eligible Partner Countries
Partnerships with government funding entities from: United States, European countries, Canada, Australia, South Korea, Singapore, and other nations with bilateral R&D agreements. Partner must be able to secure funding from their local government authority. Innovation Authority assists with finding suitable international partners.
Application Process
Dual application required: Letter of Intent (LOI) and Bilateral Application Form (BAF) submitted by each partner. Israeli company applies to Innovation Authority. Foreign partner applies to their national funding authority. Joint project proposal with coordinated technical and financial plans. Evaluation by both authorities independently. Processing: 3-4 months from submission to decision.
Partner Finding Support
Innovation Authority provides assistance finding foreign technology partners. Access to international partner databases and networks. Matchmaking events and delegations. Connection to foreign innovation authorities. Support in structuring bilateral collaboration agreements.
Project Requirements
Commercialization-directed R&D (not pure research). Development of new technological products or significant technology upgrades. Clear path to market and commercial viability. Complementary expertise from both Israeli and foreign partners. Joint work plan with defined deliverables and milestones.
Strategic Advantages
Dual government funding (Israeli + foreign). Risk-sharing between two funding authorities. Access to international technology expertise and markets. Partner-finding assistance from Innovation Authority. Credibility boost from bilateral government support. Can combine with other Israeli incentives (tax credits, other grants).
2025-2026 Activity
142 applications submitted in 2025. 67 projects approved (47% success rate). NIS 42 million in Israeli funding approved. Active calls for 2025-2026 collaborations. Strong continued government support for bilateral innovation.
Contact Information
Israel Innovation Authority: innovationisrael.org.il/en | Bilateral R&D Program: innovationisrael.org.il/en/programs/bilateral-rd-incentive-program | Email: info@innovationisrael.org.il | Phone: +972-3-7144444
Common Questions
Israel's Bilateral R&D Program supports collaborative research and development projects between Israeli companies and companies from partner countries. Israel has bilateral R&D agreements with over 30 countries including the US (BIRD Foundation), Canada, Singapore, India, South Korea, Germany, and many others. Each bilateral fund has its own focus areas, funding levels, and application procedures.
Funding levels vary by bilateral program, but grants typically cover 30-50% of the Israeli company's R&D costs for the joint project, with the partner country's fund covering a similar share for the foreign partner. The BIRD Foundation (US-Israel) provides conditional grants of up to $1 million per project. Projects usually run 18-36 months, and some programs offer matching grants that do not need to be repaid.
Israel's Innovation Authority administers bilateral cooperation with over forty countries including the US via BIRD Foundation, Canada through CIIRDF, Germany, Singapore, and South Korea. Each fund requires matched partnerships between Israeli and foreign companies on joint development projects. Grant funding typically covers fifty percent of approved costs for each partner, disbursed through their respective governmental agencies.
Intellectual property from bilateral collaborations is governed by inter-company agreements negotiated at inception, with each partner retaining ownership proportional to their technical contribution. The Innovation Authority requires proposals to include detailed IP allocation frameworks addressing background licenses and territorial exclusivities. Partners are encouraged to register jointly developed patents in both jurisdictions for maximum commercial exploitation.
Bilateral industrial R&D foundations such as BIRD, CIIRDF, and KORIL-RDF provide matched funding enabling Israeli cybersecurity ventures to co-develop threat intelligence platforms, network intrusion detection systems, and critical infrastructure protection solutions with partner country defense prime contractors. Joint project governance structures establish intellectual property co-ownership arrangements, technology export control compliance frameworks, and classified information handling protocols. Market access reciprocity provisions enable Israeli firms to penetrate partner country government procurement channels while foreign partners access Israeli military and intelligence community customer relationships for field testing and operational validation.
Successful proposals demonstrate genuine technological complementarity where each partner contributes distinctive capabilities unattainable through independent development efforts. Evaluation committees assess balanced contribution distribution ensuring neither partner merely subcontracts commodity development tasks to the other. Commercial exploitation plans identifying specific customer segments, pricing architectures, and distribution channel strategies within both partner countries substantiate market viability beyond research curiosity motivations. Letters of endorsement from prospective enterprise customers confirming willingness to participate in pilot deployment programs significantly strengthen commercial credibility assessments during competitive proposal ranking deliberations.
References
- BIRD Foundation Programs. BIRD Foundation (2025). View source
- Bilateral R&D Programs. Israel Innovation Authority (2025). View source
- BIRD Foundation - US-Israel Industrial R&D. BIRD Foundation (2025). View source
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