Government Approves Comprehensive National AI Program

In June 2026, the Israeli government officially approved a sweeping National AI Program designed to transform the country into a global AI superpower. Spearheaded by the National AI Directorate, the program addresses several pillars: labor market resilience, the establishment of the National Artificial Intelligence Institute, and the creation of 'acceleration hubs' to translate national challenges into applied AI solutions. A core component of the strategy is the focus on Cyber AI and Physical AI, aiming to counter emerging threats like deepfakes while leveraging Israel's existing strengths in cybersecurity. The program also mandates a national mechanism to manage the socio-economic shifts caused by AI, ensuring that economic growth remains stable as automation increases. Prime Minister Benjamin Netanyahu highlighted that this program is essential for Israel's future prosperity, comparing the potential impact of AI to the country's historical success in the cyber sector. By fostering a close connection between the defense industry, academia, and the private sector, the government intends to create a robust ecosystem that supports both research and rapid, real-world deployment of AI technologies.