Israel Launches National Supercomputer: Nebius to Build One of the World’s Most Advanced AI Model Training Platforms

Nebius to establish Israel’s supercomputer, offering startups, companies, and researchers affordable, unprecedented access to train AI models

JERUSALEM, ISRAEL, May 15, 2025 /EINPresswire.com/ -- Israel has taken a major step forward in artificial intelligence with the launch of its National AI Supercomputer. Nebius has been selected to build the infrastructure, which will offer unprecedented accessibility and affordability for Israeli startups, companies, and researchers to train AI models at scale.

This milestone marks the beginning of Phase II of Israel’s National Artificial Intelligence Program, alongside a series of new flagship initiatives: the establishment of a National AI Research Institute, promotion of cutting-edge “Moonshot” research projects in academia, industry, and defense, acceleration of AI adoption across government services, the launch of a new graduate AI study program in the IDF, and the creation of AI experimental labs to support the development and deployment of advanced technological solutions.

The Israel Innovation Authority announced today that Nebius won the national call for proposals to establish this groundbreaking infrastructure. The project represents the conclusion of an extensive planning process and will involve an investment exceeding NIS 500 million, including NIS 160 million in government support. Four high-quality proposals were submitted, each exceeding the technical baseline, reflecting the strong interest from the tech industry. The supercomputer is designed to significantly expand access to AI training capabilities and dramatically reduce processing costs for the Israeli ecosystem. The call for proposal also introduced a globally unique public-private collaboration model, directing government funding toward early-stage, high-risk R&D activities for companies using the infrastructure.

Gila Gamliel, Minister of Innovation, Science and Technology: "The establishment of the national supercomputer and the launch of flagship AI projects mark a new and significant phase in Israel's ability to shape its future. We are building an independent and innovative infrastructure that will enable Israel not only to meet the challenges of the coming decade - but to lead it. This is not just an investment in technology - it’s an investment in national security, economic growth, and the quality of life for all Israeli citizens."

Dror Bin, CEO of the Israel Innovation Authority: "Artificial intelligence is a global growth engine, but also part of an international technological arms race. Israel is currently at the forefront of this race, but in order to maintain its competitive edge, it must continue to invest consistently in infrastructure, academia, and industry. The national supercomputer and the new flagship projects form the foundation for the next decade of Israeli high-tech. This is a defining moment: the supercomputer being built here in Israel will provide top-tier computing power to every researcher, entrepreneur, and company. Alongside national AI models, a government AI lab, and smart ethical policy, we are creating a complete ecosystem - with both vision and execution capability. Artificial intelligence is a technological and economic opportunity that will advance Israeli society, and we are here to ensure that Israel fully seizes this opportunity."

Nebius Selected to Build Israel’s National Supercomputer
Nebius, a dynamic multinational company with an Israeli-led management team and five operational centers worldwide, has emerged as a global leader in AI computing infrastructure. Now, Nebius brings its most advanced facility yet to Israel - designed to revolutionize national research, development, and innovation capabilities.

Nebius’ winning proposal includes computing power four times greater than the proposals’ baseline, delivering approximately 16,000 petaflops of capacity. The company also committed to offering discounted computer power at twice the required volume, and to begin operations by early 2026.

Key Advantages of Nebius' Proposal:
- An unprecedented scale of investment in Israel, including the procurement and deployment of thousands of processors, totaling hundreds of millions of shekels.

- A comprehensive, smart, and proven solution, which combines hardware, software, services, and flexible management, while also tailoring to the evolving needs of companies and researchers.

- Planning, implementation, operation, and support by an experienced team with deep understanding of both local and global markets.

The uniqueness of Nebius’ solution lies in its operating model: a combination of physical infrastructure in Israel with a targeted access policy focused on early-stage research. The goal is to make high-performance computing resources available to those who typically lack access, from startups, academic researchers, and public sector entities seeking innovation.

In parallel, the 2025 AI Status Report was published - offering insights into the current state of artificial intelligence in Israel, the progress of the National AI Program, and the launch of key strategic initiatives such as the Moonshots projects, the National Institute for AI Research, and more.

The report, prepared by the National AI Program Directorate on behalf of all participating government entities (Ministry of Innovation, Science and Technology; Council for Higher Education; Directorate of Defense R&D [MAFAT]; Israel National Digital Agency; Ministry of Finance; and the Israel Innovation Authority), is one of the most comprehensive and in-depth analyses conducted to date. It is based on interviews with a wide range of players across the Israeli ecosystem, collaborations with dozens of government agencies, market analyses, and numerous international comparisons.

The report presents a complex picture: Israel holds a strong position as an AI producer despite intense global competition – partially thanks to a significant increase in the number of AI companies founded in Israel, approximately $15 billion in private investment in Israeli AI startups over the past decade, and leadership in human capital metrics.

However, when it comes to realizing the broader societal and economic potential of AI (as an AI taker), government activity is still in its early stages. The report highlights a clear need to accelerate national preparedness for the far-reaching impacts of AI on all aspects of life. The rise of generative AI, which entered the public sphere about two and a half years ago and matured significantly in the past year, is expected to drive profound transformations across sectors. There is now an urgent need to leverage this technology to its full socio-economic potential and to prepare Israel’s economy for the upcoming wave of change.

In addition to analyzing the current landscape and publishing recommendations for future action, the report outlines the next steps in Israel’s National AI Program:
"Moonshot" Projects at the Forefront of Global Technology – For the first time, the State of Israel will invest in large-scale AI research initiatives (Moonshots) at the cutting edge of global innovation. With a total budget of approximately NIS 90 million over the coming years, these projects will be developed through an inter-ministerial approach, advancing close collaboration between government, academia, and industry. Led by Israel’s newly launched national supercomputer, the projects will be built on public data repositories and advanced computing infrastructure to support groundbreaking research with significant societal and technological impact.

National AI Research Institute – Israel will establish a national institute for both basic and applied AI research, with the goal of maintaining the country’s position at the forefront of global research. The institute will work to attract leading international researchers and enhance unique collaborations between academic institutions and industry. It will serve as a hub for long-term, interdisciplinary research, leveraging key infrastructures developed under the national program - such as the supercomputer and data infrastructure - to firmly position Israeli AI research on the global stage.

Sector-Specific Data Assets – The program will focus on pooling and providing access to Israel’s unique domain-specific data repositories, such as those in agriculture, climate, and education to unlock their full innovation potential. These "data assets" will provide an integrated solution by: consolidating fragmented datasets, which are often distributed across multiple stakeholders, making data accessible for research and development while ensuring safe and responsible use, including addressing issues of privacy, intellectual property, and data security, and offering R&D support services for researchers and companies aiming to leverage these data assets for innovation and technological advancement.

Expanding the Number of AI Experts in Israel – Despite ranking at the top globally in terms of human capital quality and density in AI, Israel faces a significant shortage of AI professionals. This gap reflects both the central role of high-tech in Israel’s economy and the rapid integration of AI technologies across all sectors. To address this, the National AI Program is launching, for the first time, a series of targeted initiatives aimed at expanding the talent pool, including: An advanced academic training program for AI experts within the IDF, a program to attract international talent, scholarship initiatives to increase the number of graduate students in AI-related fields, and upskilling programs for researchers and professionals with advanced degrees in science and technology. These efforts aim to ensure Israel has the human capital needed to lead in AI development and application in the years ahead.

Shani Jaffe
Number 10 Strategies
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