Glilot Capital, one of Israel's leading venture capital firms, has successfully raised $500 million for two new early-stage funds focused on Israeli AI and cybersecurity startups, reflecting strong investor confidence.

The new funds include a seed fund, its fifth, and Glilot Plus, which targets early-stage companies, with plans to invest in about 12 startups each year.

This fundraising marks a significant step in Glilot's global expansion and reinforces its commitment to investing in disruptive technologies within Israel and beyond.

The firm’s strategy emphasizes mission-critical sectors like cybersecurity and AI infrastructure, which are viewed as essential for the long-term stability of the AI economy.

Investors are increasingly selective, favoring startups with clear paths to sustainable revenue and profitability, especially AI-native companies demonstrating real customer value early on.

Kobi Samboursky, cofounder and managing partner, highlighted that the raise reflects investor confidence in Glilot’s proven performance and its comprehensive value creation model.

The latest funding round underscores strong confidence from international financial institutions in Glilot’s investment approach and its role in positioning Israel as a global innovation hub.

Israel is recognized as a global leader in cybersecurity, with about half of the country’s tech startup investments directed toward this sector, driven by the increasing sophistication of AI-powered cyber attacks.

Samboursky emphasized that cybersecurity, especially at the intersection with AI, is becoming more vital, with predictions that AI-native cybersecurity solutions will surpass traditional cloud security within five to six years.

Glilot’s portfolio includes notable companies like AtBay, Noma, and Cider Security, which was acquired by Palo Alto Networks, demonstrating the firm’s success in nurturing high-growth startups.

Since its founding in 2011, Glilot has completed 22 investments, with its portfolio companies attracting over $700 million in follow-on funding this year alone, and achieving notable exits.

The firm has expanded its leadership by appointing Rinat Remler as its fifth partner to enhance support for portfolio companies and help them scale internationally.

Over $1 billion is currently under management at Glilot, with half of the new funds allocated for new investments and the other half for follow-on funding, demonstrating its strong financial position.