Israeli soldiers on a tank are seen near the Israel-Gaza border.
Ilia Yefimovich | Picture Alliance | Getty Images
On Saturday, Dvir Ben-Aroya woke up expecting to go on his regular morning run. Instead, he was met with blaring alarms and missiles flying over Tel Aviv.
Ben-Aroya, co-founder of Spike, a workplace collaboration platform with clients including Fiverr, Snowflake, Spotify and Wix, was confused for over an hour — “No one really knew what was going on,” he recalled — but as time passed, social media and texts from friends began to fill him in.
That morning, Hamas, the Palestinian militant organization, had carried out terrorist attacks near the Israel-Gaza border, killing civilians and taking hostages. On Sunday, Israel declared war and began implementing a siege of Gaza, cutting off access to power, food, water and fuel. So far, more than 1,000 Israelis have been killed, according to the Israeli Embassy in Washington; in Gaza and the West Bank the death toll is nearing 850, according to two health ministries in the region.
At 3 p.m. local time Saturday, Ben-Aroya held an all-hands meeting, and he says every one of his 35 full-time, Israel-based employees joined the call. People shared their experiences, and Ben-Aroya decided everyone should work from home for the foreseeable future, adding that if anyone wanted to move away from Israel with their family, the company would support them. At least 10% decided to take him up on that offer, he told CNBC, and he believes more will do so in the coming weeks.
Israel’s tech community accounts for nearly one-fifth of the country’s annual gross domestic product, making it the sector with the largest economic output in the country, according to the Israel Innovation Authority. The tech sector also makes up about 10% of the total labor force. Even during war, much of Israel’s tech community is still finding a way to push forward, according to Ben-Aroya and a handful of other members of the tech community CNBC spoke with.
Israeli soldiers stand guard at the site of the Supernova desert music Festival, after Israeli forces managed to secure areas around Re’im.
Ilia Yefimovich | Picture Alliance | Getty Images
Ben-Aroya had been planning to launch Spike’s integrated artificial intelligence tool this past Monday, and he almost immediately decided to put the project on hold — but only for a week’s time.
For Amitai Ratzon, CEO of cybersecurity firm Pentera, Saturday began with “uncertainty and lots of confusion,” but when his company had its all-hands meeting on Monday, with 350 attendees, he recalled some Israel-based workers viewing work as a good distraction. For those who feel the opposite, the company is allowing them to take the time off they need.
Pentera operates from 20 countries, with Israel having the largest employee base, and it specializes in mimicking cyberattacks for clients such as BNP Paribas, Chanel and Sephora to identify system weaknesses. Ratzon said he has had to restructure some international commitments amid the conflict — canceling the training session some employees were flying into Israel for, asking someone to cover for his planned keynote address in Monaco, and having German and U.K. team members fly to a Dubai conference that Israel-based employees had been planning on attending.
“Everyone is covering for each other,” Ratzon told CNBC.
A considerable number of tech workers have already been called on for military reserve duty — a mobilization that so far totals about 360,000 Israelis.
Ratzon said Pentera has more than 20 of its best employees currently serving, “some of them on the front lines.”
Isaac Heller, CEO of Trullion, an accounting automation startup with offices in Tel Aviv, told CNBC that the company’s finance lead just finished its 2024 financial forecast and then immediately delivered new bulletproof vests for his Israeli Defense Forces unit after raising more than $50,000 to secure them.
Of digital bank One Zero’s almost 450 employees — all based in Israel — about 10% were drafted for reserve duty, CEO Gal Bar Dea told CNBC. He was surprised to see people constantly volunteering to cover for each other in an employee WhatsApp group.
“This guy says he was drafted, all of a sudden three people jump in and cover his tasks,” Bar Dea said. “There’s a sense of business as usual, everything is moving forward. … We had some meetings today on new launches coming. Everyone is keeping moving and covering for each other.”
One Zero is working on a ChatGPT-like chatbot for customer service, and this week employees opted to join optional planning meetings and decided not to move the deadlines, Bar Dea said. The person leading the ChatGPT efforts, an Air Force pilot who has been drafted, chose to join conference calls in his military uniform in between his duties, Bar Dea said.
“Many, many members of the tech community have been called up to reserve duty,” Yaniv Sadka, an investment associate at aMoon, a health tech and life sciences-focused venture capital firm, told CNBC, adding that a large swath of the community has been called to serve in Israel’s intelligence units as their reserve duty.
“I will have, by tonight, already been to two military funerals,” Sadka said.
Some members of Israel’s tech community are working overtime on tech tools specific to the conflict, such as a bulletin board-type website for missing persons, cyberattack defense tools, a GoFundMe-like tool and even a resource for finding online psychologists, according to Bar Dea.
“It’s pretty amazing — it’s the secret sauce of Israel … startup nation,” Bar Dea told CNBC, adding, “In two days, people are raising money, volunteering, taking kids in, building new houses, walking deserted dogs. … All the high-tech companies. People are building cyber stuff, communication stuff … stuff to help civilians … websites to find hostages.”
Sadka said that he’s “never seen anything like” the mass donations and mass volunteering happening at the moment.
“It’s thousands upon thousands upon thousands of people taking care of each other. There are everyone from teenagers to senior citizens helping,” he said.
Five minutes before Bar Dea’s call with CNBC, he said he heard sirens blaring from his office, and that his wife had taken his kids inside their home to shelter in place.
“It’s interesting trying to be the CEO of a bank or high-tech company, meanwhile I’m the father of a 10-year-old and a 6-year-old,” Bar Dea said, adding, “It’s very tough. It’s something we’ve never experienced before, ever. … Everyone is trying to get our hands around how to deal with it from a business perspective and also from a personal perspective.”
Sadka added, “It’s very difficult to concentrate on work when you’re dealing with all these personal matters and on securing yourself and the country.”
FILE PHOTO: Instacart shopper, Loralyn Geggatt makes a delivery to a customer’s home in Falmouth, MA on April 7, 2020.
David L. Ryan | Boston Globe | Getty Images
Instacart said Monday it will cease the use of artificial intelligence-driven pricing tests on its grocery delivery platform after the practice was scrutinized in a wide-ranging study and rebuked by lawmakers.
The company said in a blog post that retailers will no longer be able to use its Eversight technology to run pricing experiments on its platform, effective immediately.
“We understand that the tests we ran with a small number of retail partners that resulted in different prices for the same item at the same store missed the mark for some customers,” the company wrote. “At a time when families are working exceptionally hard to stretch every grocery dollar, those tests raised concerns, leaving some people questioning the prices they see on Instacart. That’s not okay – especially for a company built on trust, transparency, and affordability.”
Instacart acquired Eversight for $59 million in 2022. Eversight’s software allows retailers to carry out pricing tests to gauge shoppers’ reactions to higher or lower prices on certain items.
Instacart said at the time that the technology would help retailers improve sales and growth, while “also surfacing the best deals for customers.”
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Earlier this month, a study by Consumer Reports and other organizations found that Instacart’s algorithmic pricing tools caused shoppers to pay different prices for identical items from the same store.
The total cost for the same basket of goods at a single store varied by about 7%, which can result in over $1,000 in extra annual costs for customers. Instacart responded by saying that retailers determine prices listed on the app.
The company also rejected characterizations of the technology as surveillance pricing or dynamic pricing, and said the tests were never based on personal, demographic or individual-level user data.
Reuters reported last week that the Federal Trade Commission had sent a civil investigative demand to Instacart about its pricing practices.
Separately, Instacart last week was ordered to pay $60 million in refunds to customers to settle claims raised by the FTC that it used deceptive tactics in its subscription sign-up, “satisfaction guarantee” advertising and other processes.
Instacart denied any allegations of wrongdoing. The company said it answered questions from the FTC about its AI pricing tools as part of that settlement.
Wall Street and Broad St. signs are seen as New York Stock Exchange building decorated for Christmas at the Financial District in New York City, United States on December 16, 2020.
Tayfun Coskun | Anadolu Agency | Getty Images
This is CNBC’s Morning Squawk newsletter. Subscribe here to receive future editions in your inbox.
Here are five key things investors need to know to start the trading day:
1. Here comes Santa Claus?
Technology stocks rebounded to end last week, helping assuage the latest worries about the artificial intelligence trade. The question now is if Santa is coming to town — which, in this case, means Wall Street.
Here’s what to know:
2. Epstein files
This photo illustration taken in Washington, DC, on December 19, 2025 shows redacted documents after the US Justice Department began releasing the long-awaited records from the investigation into the politically explosive case of convicted sex offender Jeffrey Epstein.
Mandel Ngan | AFP | Getty Images
The Justice Department released some of its investigative files tied to sexual predator Jeffrey Epstein on Friday. The release came on the deadline set by the Epstein Files Transparency Act, but it did not include all files as was instructed by the legislation.
The DOJ’s website now has an “Epstein Library” with a search box for keywords in the newly released files. However, CNBC found the search box did not immediately work as intended.
A number of documents were reportedly removed from the Justice Department’s site. A photo featuring President Donald Trump was later reposted after backlash.
3. Job search
Josh Woodward, VP of Google Labs, addresses the crowd during Google’s annual I/O developers conference in Mountain View, California on May 20, 2025.
Camille Cohen | AFP | Getty Images
Google hasn’t been looking far to staff up its AI teams. CNBC’s Jennifer Elias reported that about one-fifth of all AI software engineers hired by the tech giant this year were boomerangs, a term used for ex-employees who return.
That comes as 16-year Google veteran Josh Woodward has taken the helm of Gemini, the crown jewel of Alphabet’s AI ambitions, this year. The 42-year-old Oklahoma native also kept his role managing Google Labs.
Alphabet also made the news this weekend for a different business: its driverless ride-hailing service Waymo. The company had temporarily suspended operations in the San Francisco Bay Area following power outages.
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4. (Dis)like
In this photo illustration, iPhone screens display various social media apps on the screens on February 9, 2025 in Bath, England.
Anna Barclay | Getty Images News | Getty Images
C-suite leaders are learning a lesson that their younger, rank-and-file staffers grew up knowing: There’s a dark side to social media.
Executives and founders have been told that active social media usage is good for their personal brands and company awareness. But a growing body of anecdotes over recent years has shown that missteps can leave them — and sometimes the businesses they represent — in hot water.
Still, that doesn’t mean there aren’t benefits to being online, even if the reaction can be negative. How one founder put it to CNBC: “As long as your name is in their mouth, you’re doing something right.”
5. Glow up
While supplements tend to be more popular around New Year’s resolution season, Gruns is hoping its sales get a holiday bump. It’s selling some packs of gummies with a holiday flair, including a Grinch-inspired sour punch flavor.
The wellness category is slated to gain ground this shopping season, with retailers giving this sector shelf space as consumers make resolutions for the new year. CNBC’s Melissa Repko reported that brands like Grüns and Neom Wellbeing are aiming to win shoppers’ interest this season by selling holiday-themed items.
On the other hand, Microsoft‘s Xbox may not be a hot item under trees as the gaming console remains in a slump. Between company layoffs, studio closures and price increases, CNBC’s Jaures Yip found that some are wondering if the Xbox is finally dead.
The Daily Dividend
Here’s some of the events we’re keeping an eye on this holiday-shortened week:
Tuesday: Real GDP and consumer confidence data
Wednesday: Early stock market close for Christmas Eve
— CNBC’s Jonathan Vanian, Julia Boorstin, Laya Neelakandan, Chloe Taylor, Liz Napolitano, Dan Mangan, Sean Conlon, Jennifer Elias, Lora Kolodny, Mike Winters, Melissa Repko and Jaures Yipcontributed to this report. Melodie Warner edited this edition.
A Baidu Apollo RT6 robotaxi during Baidu’s Apollo Day in Wuhan, China, on Wednesday, May 15, 2024.
Bloomberg | Bloomberg | Getty Images
Chinese tech giant Baidu has announced plans to bring robotaxis to London starting next year through its partnerships with Lyft and Uber, as the UK emerges as a growing autonomous vehicle battleground.
The announced collaborations will bring Baidu’s Apollo Go autonomous vehicles to the British capital through the Uber and Lyft platforms, the companies said on their respective social media accounts.
Lyft’s testing of Baidu’s initial fleet of dozens of vehicles will begin in 2026, pending regulatory approval, “with plans to scale to hundreds from there,” Lyft CEO David Risher said in a post on social media platform X on Monday.
Meanwhile, Uber said that its first pilot is expected to start in the first half of 2026. “We’re excited to accelerate Britain’s leadership in the future of mobility, bringing another safe and reliable travel option to Londoners next year,” the company added.
The moves add to Baidu’s growing global footprint, which it says includes 22 cities and more than 250,000 weekly trips, as it races against other Chinese players like WeRide and Western giants like Alphabet‘s Waymo.
The UK, in particular, has seen a wave of interest from driverless taxi companies, following the government’s announcement in June that it would accelerate its plans to allow autonomous vehicle tech on public roads.
The government now aims to begin permitting robotaxis to operate in small-scale pilots starting in spring 2026, with Baidu likely aiming to be amongst the first.
The city of London has also established a “Vision Zero” goal to eliminate all serious injuries and deaths in its transportation systems by 2041, with autonomous driving technology expected to play a large role.
News of Baidu pilots comes as its competitor Waymo also looks to begin testing in London, with plans for a full service launch in 2026. Waymo currently operates or plans to launch a service or test its fleet in 26 markets, including major cities like Tokyo and New York City.
Baidu, for its part, has been aggressively expanding globally, with testing rolling out in international markets like the United Arab Emirates and Switzerland.