California Adds 17 Israeli-Founded Unicorns, Now Home to 32 Total

No state has ever headquartered this many Israeli-founded unicorns at once

NEW YORK, April 28, 2022 /PRNewswire/ -- California now hosts the global or U.S. headquarters for 32 Israeli-founded unicorns – privately held companies valued at $1 billion or more – according to the United States – Israel Business Alliance. Over the past 12 months, the Golden State added 17 unicorns, the vast majority of which are in Silicon Valley. The 32 total companies form an unprecedented cluster of Israeli-founded unicorns in a single state.

"When you tell someone that there are 32 Israeli-founded companies worth $1 billion or more, you'll be met with a look of amazement," USIBA president Aaron Kaplowitz said. "When you clarify that those 32 companies are in California alone, the wonder quickly turns to disbelief."

Over the past year, 16 companies reached or surpassed the billion-dollar valuation threshold: At-Bay ($1.35 billion), BigPanda ($1.2 billion), Cloudinary ($2 billion), Exabeam ($2.4 billion), Firebolt ($1.4 billion), Hailo ($1.1 billion), Honeybook ($2.4 billion), Noname Security ($1 billion), Placer.AI ($1 billion), RapidAPI ($1 billion), Salt Security ($1.5 billion), SpotOn ($3.2 billion), Sunbit ($1.1 billion),  Veev ($1 billion), Viz.ai ($1.2 billion), and Wiliot ($1 billion).

California picked up an additional unicorn when Cato Networks ($2.5 billion), a company valued at more than $1 billion since November 2020, relocated its headquarters from Alpharetta, Georgia to San Jose.

Ten of the other 15 Israeli-founded unicorns in California increased their valuations since April 2021, when USIBA issued its last Unicorn Report: Armis (from $2 to $3.5 billion), Deel (from $1.3 to $5.5 billion), Dremio (from $1 to $2 billion), Gong (from $2.2 to $7.25 billion), Gusto (from $3.8 to $9.5 billion), Redis Labs (from $2 to $4 billion), Tipalti (from $2 to $8.3 billion), Trax (from $2.3 to $3 billion), TripActions (from $5 to $7.25 billion), and Wiz, the Palo Alto cybersecurity darling that increased its valuation from $1.7 billion to $6 billion in less than six months.

Fundbox, a credit start-up, explored a special purpose acquisition company merger based on a $1.5 billion valuation in 2021. The merger did not materialize and Fundbox closed a $100 million round in November at a $1.1 billion value.

Israeli-Founded Unicorns Based in California

Rapyd, the Mountain View-based payments platform provider, took the biggest leap since last April, with its valuation increasing sixfold, from $2.5 to $15 billion. Founded in 2016, Rapyd has raised $770 million total and is the highest valued Israeli-founded unicorn in the world today.

"The Israeli-founded companies in Silicon Valley are raising eye-popping funds," Kaplowitz said. "But, as far as impact goes, those dollars pale in comparison to the number of local jobs these companies create and the revenue they bring to their communities."

California also lost six Israeli-founded unicorns to initial public offerings: Hippo, Innoviz, ironSource, Otonomo, SentinelOne, and WalkMe. Orca Security, which increased its valuation from $1.2 to $1.8 billion last year, outgrew its Los Angeles office and, in December, moved to Portland, Oregon. 

San Francisco saw its Israeli-founded unicorn total rise from eight last April to 12 today. It now has the second most Israeli-founded unicorns among U.S. cities and trails New York, which boasts 26 Israeli-founded unicorns, the most of any city outside of Tel Aviv.  

Although many signs seem to indicate that 2022 won't be as prolific of a fundraising year for Israeli-founded companies as 2021, California has already added six Israeli unicorns this year.

About the United States – Israel Business Alliance The mission of the United States – Israel Business Alliance is to strengthen the economic relationship between individual states and Israel. Learn more about the impact Israeli companies are having on local communities at www.nyisrael.org.

SOURCE United States - Israel Business Alliance