“There's a major tectonic shift happening in the defensetech industry”

“We're sector agnostic. We don't do consumer, but we invested in AI before the ChatGPT ‘big bang’,” said Shahar Tzafrir, Managing Partner at TLV Partners. “We've invested in healthtech, cyber, data, developer tools, and quite a lot of biotech investments recently. We've made our first two defensetech investments, one before the horrendous October 7 events and one after.”

TLV Partners is an early-stage VC currently investing from its fifth fund, which is roughly $250 million and includes a portfolio of roughly 70 companies. Tzafrir joined CTech to discuss some of the tech trends coming out of Israel since the war broke out and what sectors might be valuable in the future once the economy recovers.

“\[Defensetech\] is not an area we've actively reviewed before, but we tend to identify areas of interest and then invest in a cluster of companies in that segment. And yes, we believe there's a major tectonic shift happening in the defensetech industry. So we've made so far two investments, Seed stage investment in this area, and we'll probably be doing more. So we're actively looking for that.”

You can watch the entire exchange in the video above.