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As EU weighs limits on Israeli research, Poland offers support to Startup Nation

As EU weighs limits on Israeli research, Poland offers support to Startup Nation

The European country has witnessed an explosive year for its high-tech ecosystem. Now, it is looking at Israel to grow its talent pool and company catalogue with a government grants program.

James Spiro | 13:36, 27.08.25

When Poland was hit with a double whammy of a pandemic and a war on its borders, the country took drastic steps to enhance its cybersecurity efforts and place new emphasis on its startup sector. In doing so, it saw some impressive change: In 2024, Polish startups raised €3.5 billion ($4 billion), a 45% jump year over year, with key growth areas including fintech, green tech, AI, healthtech, and deep tech. Today it is home to more than 3,000 startups, 130 VC firms, and can boast 13 unicorns, making it the leader in the Central and Eastern Europe region.

The country is seeing explosive growth and extending an open arm to Israel as the rest of the continent is distancing itself from Startup Nation. Most notably, there is a 2025 Polish government Grants Program designed to attract foreign talent and encourage R&D investment across the country.

The EU The EU's proposal could help send Israelis straight to Poland The EU

“The grant is open for companies all around the world. But they like the Israeli companies because they like the creativity, the innovation, and the imagination,” explained Moshe Aharony, who helps connect companies to the country. “They like the Israeli chutzpah… that's all the missing character in the Polish HR. And they believe that the combination of the Polish HR with the Israelis will be excellent. That's the reason why they really want the Israeli companies.”

The program comes amid the European Union's executive body recommending curbing Israeli access to Horizon Europe, its flagship research funding program. After calls from EU countries to increase pressure on Israel to change course on its operations in Gaza, the proposal would need at least 15 of the EU's 27 members to approve it, representing at least 65% of its population. Regardless of the outcome, the debate sends a symbolic signal to Tel Aviv’s tech hub, prompting Israel to search for allies wherever it can find them.

Poland’s startup scene is not concentrated in one city but spread across several hubs, each with its own strengths. Warsaw has emerged as a fintech and enterprise software capital, while Kraków has become known for AI research, gaming, and serving as an R&D base for global tech giants. Wrocław is attracting deep-tech and engineering talent, boosted by Intel’s planned semiconductor facility, and Rzeszów has carved out a niche in aviation and defense thanks to its proximity to Ukraine. For Israeli companies considering expansion, this geographic diversity means they can plug into the ecosystem most suited to their sector.

Moshe Aharony Moshe Aharony Moshe Aharony

Grants range from €1-20 million and can cover up to 80% of R&D costs. Benefits include non-refundable cash grants, no IP sharing, no equity, and no royalties required. For Startup Nation, up to 20% of the grant can be transferred to Israel for Israeli CTO salaries who can manage projects remotely. According to the Polish Investment & Trade Agency, Israelis will have access to a Polish tech and ICT sector that makes up about 8% of the country’s GDP, employing over 430,000 professionals and featuring around 50,000 companies across small and large scales.

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For Israeli founders and investors, Poland could present a safe and reliable entry point into the wider European and American markets. The country is positioning itself as a stable partner in a region fraught with geopolitical tension, needing new tech to modernize defense and cybersecurity against Russia. New President Karol Nawrocki has already secured an invitation to the White House by Donald Trump, marking his first international trip and signaling alignment with MAGA-linked ideologies, such as reaching GDP targets on NATO defense spending. For Poland, it is another step toward forging closer ties with the West as it weans off Russian gas and confronts ongoing cyberattacks linked to Moscow’s war in Ukraine.

Aharony argues that Poland’s government is casting a wide net and is on the hunt for state-of-the-art technology — particularly dual-use solutions where importing Israeli dual-use innovation could act as a convenient shortcut.. “They don’t care about the sector, so long as it’s dual use,” he said. “If it’s AI, cyber, or medical… they are open for defense and space because of the war with Ukraine and all the problems with Russia. They’re ready to invest in dual-use defense and civilian use. They’re looking for technology.”

As Brussels debates how far to push Israel away, Warsaw is rolling out the welcome mat. And in an era where capital and talent flow to where they are valued most, Poland might just emerge as Israel’s most unexpected partner.

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