Israeli investor and high-tech entrepreneur Michael Eisenberg criticized the government's approach to artificial intelligence (AI) during a Knesset committee meeting on Tuesday, calling it "amateurish" and unsustainable.
Speaking at the Knesset's Artificial Intelligence and Advanced Technologies Committee, Eisenberg condemned the government's negligence, arguing it hinders Israel's potential to lead globally in the AI sector.
The committee convened to discuss Israel's standing in the global AI race. Eisenberg, co-founder and general partner of the Aleph venture capital firm, emphasized the importance of attracting Israeli high-tech and AI experts back to the country, including former Israeli and OpenAI founder Ilya Sutskever, who is currently establishing a new company.
"Where are the teams to bring these talents back to Israel? Who’s in charge?" Eisenberg asked. "Where’s the list of talents we need to bring back? This house is full of amateurs! There’s no depth, no strategy, and no operational plan. We can’t win without these."
Eisenberg stressed the critical role of AI for Israel’s future, likening it to nuclear energy. "It's akin to nuclear energy. Ben Gurion consulted leading nuclear scientists like Oppenheimer and Teller. Shimon Peres actively sought to recruit them. The prime minister met with Elon Musk and other leaders, but who continues that work? Start working seriously."
He argued that investing in AI would help reduce the cost of living, but criticized the current budget of around $700 million as insufficient, advocating for $7 billion instead. "You in this house spend money on nonsense. Serious work in AI will impact all our lives and our children. AI requires serious investment and operational plans to attract talent and build access to computing power and semiconductors. Right now, we can’t rely on you because you’re amateurs."
Eisenberg warned that Israel is losing the AI race to technologically weaker countries. "It’s unimaginable that the Emiratis and the French are surpassing us in AI. If the Finance Ministry can’t prioritize this investment, if the Economy Ministry can’t do serious work, if government ministries can’t build plans for talent recruitment and computing power, then step aside. We can’t afford to lose this battle."
Nati Amsterdam, senior country director at NVIDIA Israel, added, "We’re at the start of a new industrial revolution, the AI revolution. Israel is a global hi-tech leader with pioneering researchers and scientists. To continue leading in the AI era, we need to provide the Israeli industry with access to AI computing infrastructure to accelerate human capital in all fields and industries."
Committee Chair MK Orit Farkash-Hacohen emphasized the urgency of improving Israel's technological position. "This is an issue of national security that should be overseen by the prime minister. Instead, the Knesset is holding three shameful discussions today on all the wrong things.”
A document from the Knesset Research and Information Center revealed Israel's unsatisfactory position in global AI rankings. According to the Tortoise Global AI Index, Israel ranks second in startup activity, investments, and AI-based business ventures, but only 47th in government strategy and 28th in infrastructure. Stanford University's index ranks Israel ninth, behind Germany and Australia, while the Insights Oxford ranking places Israel 30th, below Saudi Arabia and Belgium, marking a ten-place drop year-on-year.