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An American venture capitalist says now is the time to bet big on Israel despite the country facing a multi-front war against Iran-backed terrorists in Gaza and Lebanon.

Aaron Kaplowitz, who founded 1948 Ventures only days after the deadly Oct. 7 Hamas terror attacks, invests in Israeli early-stage dual-use companies, firms that create technologies with both defense and civilian applications. 

When youre forced to find life-saving solutions in real-time, the battlefield becomes the ultimate sandbox for innovation, said Kaplowitz, who previously ran a state incentives program focused on attracting international companies to New York.

Kaplowitz’s faith in Israel comes as some tech entrepreneurs and investors in the so-called startup nation considered relocating to America as funding dried up in the wake of the massacre, as The Post previously reported. Others who previously made trips to Israels high-tech region known as Silicon Wadi canceled visits, sources said.

The best entrepreneurs arent admitting it to many people but theyre contemplating leaving, one gloomy venture capitalist told The Post just two weeks after the attacks.

Kaplowitz, however, pointed to the recent success of the US-funded and Israeli-developed Iron Dome, the missile defense system embedded with dual-use technology, as one of among many validations of his decision to plow money into Israeli companies at a time when most have backed off.

The Iron Dome worked to near-perfection in shooting down 99% of the roughly 300 missiles and drones fired at Israel by Iran on April 13.

The same predictive tech that determines if and when to fire interceptors at incoming enemy missiles is being used today to predict wildfires in Oregon, reduce energy costs in low-income California neighborhoods, and prevent power outages across New York, said Kaplowitz,  who has been involved in early-stage investments since 2015. 

Many of these companies will go on to save American lives, safeguard critical infrastructure, and create local jobs. 

Israel can sorely use the infusion of cash. The countrys economy has been battered by the war with the GDP tanking 19.4% in the fourth quarter of 2023.

Israels vibrant tech sector makes up nearly 20% of that figure. There are more VC firms per capita in Israel than anywhere in the world and most deals to invest in Israeli startups include US based investors, according to PitchBook.

The nation also has a track record of rebounding quickly after a conflict. 

Following Israels 2014 war in Gaza, its economy grew by 4% double the OECD average. And after its war with Hezbollah in 2006, the Jewish state saw a significant uptick in outside investment, some of which helped seed several game-changing companies. 

“I have great faith in the power of the Israeli startup, and I foresee a ‘startup boom,’ Avi Hasson, CEO of Start-Up Nation Central, said earlier this month at a conference in Tel Aviv. 

Kaplowitz said he quickly understood the need to inject capital into the Israeli startup ecosystem, which he referred to as the beating heart of Israels economy, after visiting the still-smoldering southern towns and kibbutzes on Oct. 18.

His other company the United States-Israel Business Alliance, an organization that specializes in bringing governors to Israel had arranged Gov. Hochuls solidarity mission to the region.

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Especially in the early days of the war, Israels economy was suffering, he said. In an instant, it felt like the entire hi-tech workforce put their out-of-office notifications on, closed their computers, and raced to the frontlines to defend their communities.

Seizing the opportunity to invest now in battle-tested technology at depressed valuations is one of the primary reasons Kaplowitz said he made the decision to launch Miami-based 1948 Ventures a nod to the year the state of Israel was established. 

After making two initial investments, 1948 Ventures is now in the process of raising $10 million to invest in a dozen additional companies that have undergone thorough due diligence. 

Kaplowitz claimed that each company his VC is targeting has the potential to be a game-changer in both the defense and commercial markets. 

Kaplowitz said he began researching the underlying vulnerabilities that Hamas had exploited by sending drones to drop grenades on the Israeli armys observation and communication systems on Oct. 7, allowing thousands of Gazan terrorists and civilians to storm across the border undeterred. 

He sensed that this catastrophic security failure opened the door to a more effective perimeter protection solution and decided that 1948s first investment would be in a startup that uses a disruptive software to detect wireless signals. 

Today, the IDF has integrated the companys technology to detect, classify and geolocate drones. 

I believe that on the other side of this punishing, existential war, Israel will emerge as the world leader in defense technologies for decades to come, he said.

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Sports

Lightning sign McDonagh to 3-year, $12.3M deal

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Lightning sign McDonagh to 3-year, .3M deal

TAMPA, Fla. — The Tampa Bay Lightning have signed veteran defenseman Ryan McDonagh to a three-year extension worth $12.3 million.

General manager Julien BriseBois announced the deal Thursday. McDonagh will be 37 when the new contract kicks in; it counts $4.1 million against the salary cap through the 2028-29 season.

McDonagh helped the Lightning win back-to-back Stanley Cups in 2020 and 2021 and reach the Final in 2022 before losing in six games to the Colorado Avalanche.

They traded him to the Nashville Predators that summer to clear cap space at a time when it was not going up much because of the pandemic and reacquired him in 2024.

Record cap increases will have McDonagh account for less than 4% of the cap each of the next three years.

McDonagh is currently injured, one of several players Tampa Bay has been missing, along with No. 1 defenseman Victor Hedman. The team has still won 16 of 26 games and leads the Atlantic Division.

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UK

Officials accused of ‘failing’ to tell Lords about three large-scale illegal waste sites

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Officials accused of 'failing' to tell Lords about three large-scale illegal waste sites

Environment Agency bosses have been accused of “failing” to tell a cross-party committee of peers about three large-scale illegal waste sites – including one that was recently exposed by Sky News. 

Our investigation into waste crime in Wigan heard from residents who repeatedly complained to the Environment Agency that 20 to 30 lorries a day drove down their street last winter and dumped industrial amounts of waste.

The rubbish now sits at a staggering 25,000 tonnes. It burnt for nine days in July, and has seen local homes infested with rats and flies.

Since then, a similarly sized site in Kidlington near the River Cherwell in Oxfordshire sparked national outrage. One man has been arrested in connection with the dumping.

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‘Epidemic’ of waste crime in Britain

Despite the scale of these two locations – which were well known to the Environment Agency – it neglected to name them when asked by the Lord’s Environment Committee’s inquiry into waste crime how many “significant” sites there were around the country.

Phil Davies and Steve Molyneux of the Environment Agency gave evidence on 17 September.

Just six sites were cited, but three more have been exposed in the past few weeks alone. These are Wigan, Kidlington and a mound of dumped waste in Wadborough.

Now, the Lords are worried there are more environmentally destructive locations the public aren’t aware of.

Read more:
A community plagued by 25,000 tonnes of illegal waste

Urgent action needed to stop fly-tipping by gangs, peers say

In a letter to the EA’s chair Alan Lovell and chief executive Philip Duffy, Baroness Sheehan, chair of the Environment and Climate Change Committee, said: “We are increasingly concerned that there may be other sites of a similarly large and environmentally damaging scale.”

She asked how much progress has been made to remove waste from the various sites, why restriction notices in places like Wigan weren’t served sooner – and for a full list of other sites of a similar size.

Baroness Sheehan also expressed her “disappointment” that these three new locations “were not deemed necessary to bring to the committee’s attention”, though she thanked journalists for “bringing these sites to the public attention”.

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UK’s ‘biggest ecological disaster’

Her original report saw the Lords call for an independent “root and branch” inquiry into how waste crime is tackled. She said the crime, which costs the UK £1bn every year, has been “critically under-prioritised”.

Sky News has been investigating the scourge of waste crime all year, exposing how criminal gangs involved in drugs, weapons and people trafficking can make “millions” from illegally dumping waste.

In the summer, we tracked down a group of suspected organised fly-tippers who waved wads of cash on TikTok after dumping waste in the countryside.

It’s so lucrative, it was dubbed the “new narcotics” by a former head of the Environment Agency.

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UK

Starmer wants to lift half a million children out of poverty – but does his plan go far enough?

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Starmer wants to lift half a million children out of poverty - but does his plan go far enough?

A new long-awaited child poverty strategy is promising to lift half a million children out of poverty by the end of this parliament – but critics have branded it unambitious. 

The headline announcement in the government’s plan is the pledge to lift the two-child benefit cap, announced in Rachel Reeves’s budget last week.

It also includes:

• Providing upfront childcare support for parents on universal credit returning to work
• An £8m fund to end the placement of families in bed and breakfasts beyond a six-week limit
• Reforms to cut the cost of baby formula
• A new legal duty on councils to notify schools, health visitors, and GPs when a child is placed in temporary accommodation

Many of the measures have previously been announced.

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Two-child cap ‘a real victory for the left’

The government also pointed to its plan in the budget to cut energy bills by £150 a year, and its previously promised £950m boost to a local authority housing fund, which it says will deliver 5,000 high-quality homes for better temporary accommodation.

Downing Street said the strategy would lift 550,000 children out of poverty by 2030, saying that would be the biggest reduction in a single parliament since records began.

More on Poverty

But charities had been hoping for a 10-year strategy and argue the plan lacks ambition.

A record 4.5 million children (about 31%) are living in poverty in the UK – 900,000 more since 2010/11, according to government figures.

Phillip Anderson, the Strategic Director for External Affairs at the National Children’s Bureau (NCB), told Sky News: “Abolishing the two-child limit is a hell of a centre piece, but beyond that it’s mainly a summary of previously announced policies and commitments.

“The really big thing for me is it misses the opportunity to talk about the longer term. It was supposed to be a 10-year strategy, we wanted to see real ambition and ideally legally binding targets for reducing poverty.

“The government itself says there will still be around four million children living in poverty after these measures and the strategy has very little to say to them.”

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‘A budget for benefits street’

‘Budget for benefits street’ row

The biggest measure in the strategy is the plan to lift the two-child benefit cap from April. This is estimated to lift 450,000 children out of poverty by 2030, at a cost of £3bn.

The government has long been under pressure from backbench Labour MPs to scrap the cap, with most experts arguing that it is the quickest, most cost-effective way to drive-down poverty this parliament.

The cap, introduced by Conservative chancellor George Osborne in 2017, means parents can only claim universal credit or tax credits for their first two children. It meant the average affected household losing £4,300 per year, the Institute for Fiscal Studies calculated in 2024.

The government argues that a failure to tackle child poverty holds back the economy, and young people at school, cutting their employment and earning prospects in later life.

However, the Conservatives argue parents on benefits should have to make the same financial choices about children as everyone else.

Shadow chancellor Mel Stride said: “Work is the best way out poverty but since this government took office, unemployment has risen every single month and this budget for Benefits Street will only make the situation worse. “

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OBR leak: This has happened before

‘Bring back Sure Start’

Lord Bird, a crossbench peer who founded the Big Issue and grew up in poverty, said while he supported the lifting of the cap there needed to be “more joined up thinking” across government for a longer-term strategy.

He has been pushing for the creation of a government ministry of “poverty prevention and cure”, and for legally binding targets on child poverty.

“You have to be able to measure yourself, you can’t have the government marking its own homework,” he told Sky News.

Lord Bird also said he was a “great believer” in resurrecting Sure Start centres and expanding them beyond early years.

The New Labour programme offered support services for pre-school children and their parents and is widely seen to have improved health and educational outcomes. By its peak in 2009-2010 there were 3,600 centres – the majority of which closed following cuts by the subsequent Conservative government.

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Lord Bird on the ‘great distraction’ from child poverty

PM to meet families

Sir Keir Starmer’s government have since announced 1,000 Best Start Family Hubs – but many Labour MPs feel this announcement went under the radar and ministers missed a trick in not calling them “Sure Starts” as it is a name people are familiar with.

The prime minister is expected to meet families and children in Wales on Friday, alongside the Welsh First Minister, to make the case for his strategy and meet those he hopes will benefit from it.

Several other charities have urged ministers to go further. Both Crisis and Shelter called for the government to unfreeze housing benefit and build more social rent homes, while the Children’s Commissioner for England, Dame Rachel de Souza, said that “if we are to end child poverty – not just reduce it” measures like free bus travel for school-age children would be needed.

The strategy comes after the government set up a child poverty taskforce in July 2024, which was initially due to report back in May. The taskforce’s findings have not yet been published – only the government’s response.

Sir Keir said: “Too many children are growing up in poverty, held back from getting on in life, and too many families are struggling without the basics: a secure home, warm meals and the support they need to make ends meet.

“I will not stand by and watch that happen, because the cost of doing nothing is too high for children, for families and for Britain.”

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