Bridging Innovation: How Twinnovation Connects Israeli Startups with European Partners Amid Geopolitical Tensions

2025-01-19

In an era where innovation knows no borders, Israeli startups are increasingly looking to Europe for collaboration and growth. However, the path to forging international partnerships is fraught with challenges, particularly in light of the current geopolitical climate. Michal Zilberberg, CEO of Twinnovation, a consultancy specializing in helping startups secure EU grants and government incentives, recently shared insights on these hurdles at Tech TLV. Her message was clear: despite the obstacles, Israeli companies can still thrive in Europe with the right strategy and support.

Twinnovation plays a pivotal role in guiding startups and R&D companies through the complexities of non-diluted funding and partnership-building. Zilberberg emphasized that while Israel is not part of the European Union, its companies can still tap into EU grants and collaborative projects. However, the geopolitical tensions between Israel and certain European nations have made this process increasingly difficult. For instance, countries like Spain, where public sentiment is currently unfavorable toward Israel, pose significant barriers to finding local partners. Without these partnerships, Israeli companies are often excluded from critical EU programs.

Despite these challenges, Zilberberg remains optimistic. She pointed to Eastern European nations such as Poland, Hungary, Romania, Lithuania, and Latvia, as well as Germany, as promising allies for Israeli startups. These countries have shown a willingness to collaborate, offering a lifeline for innovation-driven partnerships. Twinnovation’s expertise lies in identifying and connecting Israeli companies with the right partners, even in the most challenging environments.

The conversation at Tech TLV underscored the importance of strategic planning and adaptability in navigating the European market. For Israeli startups, the key to success lies in leveraging consultancy services like Twinnovation to overcome geopolitical barriers and unlock new opportunities for growth.

What Undercode Say:

The challenges faced by Israeli startups in Europe are emblematic of a broader trend in the global innovation ecosystem: the intersection of technology and geopolitics. As Zilberberg highlighted, the ability to secure EU grants and form international partnerships is not just a matter of business acumen but also of navigating complex political landscapes. This dynamic raises important questions about the future of cross-border collaboration in an increasingly polarized world.

One of the most striking aspects of Zilberberg’s insights is the role of public sentiment in shaping business opportunities. In countries like Spain, where anti-Israel sentiment is prevalent, startups face an uphill battle in finding local partners. This underscores the importance of cultural and political awareness in global business strategies. Companies must not only demonstrate technological prowess but also sensitivity to the socio-political contexts in which they operate.

The emphasis on Eastern Europe as a hub for collaboration is particularly noteworthy. Countries like Poland, Hungary, and Romania have emerged as key players in the European innovation landscape, offering a blend of technical expertise and openness to international partnerships. This shift highlights the growing importance of diversifying collaboration networks beyond traditional Western European powerhouses like France and the UK.

Germany’s inclusion as a potential partner is also significant. As Europe’s largest economy and a leader in innovation, Germany’s willingness to collaborate with Israeli startups could serve as a model for other nations. However, this partnership is not without its challenges. The German-Israeli relationship is complex, shaped by historical and political factors that can influence business dynamics.

Twinnovation’s approach to non-diluted funding is another critical takeaway. For startups, maintaining equity while securing funding is a constant challenge. By focusing on grants and government incentives, Twinnovation provides a pathway for companies to grow without sacrificing ownership. This strategy is particularly valuable in the early stages of a startup’s lifecycle, when preserving equity is crucial for long-term success.

The broader implications of Zilberberg’s insights extend beyond Israel and Europe. In a world where innovation is increasingly globalized, the ability to navigate geopolitical tensions will be a defining factor for startups everywhere. Companies that can adapt to these challenges and build resilient, diverse networks will be better positioned to thrive in the years to come.

Ultimately, the story of Twinnovation and Israeli startups in Europe is one of resilience and ingenuity. Despite the obstacles, these companies continue to push the boundaries of innovation, proving that even in the face of adversity, collaboration and creativity can prevail. As the global innovation landscape evolves, the lessons learned from this experience will undoubtedly shape the future of cross-border partnerships.