Israeli venture capital firm Hetz Ventures has closed a $140 million fourth fund to invest in early-stage cybersecurity and AI startups, reinforcing its position as a leading backer of foundational technology in the country.
The new fund brings Hetz’s total assets under management to nearly $500 million just eight years after its founding, highlighting the firm’s rapid growth and influence in Israel’s tech ecosystem.
Hetz focuses on early-stage investments in cybersecurity, data, and AI infrastructure, prioritising companies building core technologies rather than consumer-facing applications or later-stage growth ventures.
“Combined with the technological disruption we’re seeing across cybersecurity, data, and infrastructure, we believe this cohort will produce some of the most important companies of the next decade. Fund IV is not just a vote of confidence in Hetz, but in the Israeli ecosystem at large,” said Judah Taub, Managing Partner at Hetz Ventures.
What You Need to Know
Hetz-backed companies have generated more than $1 billion in exit value, including Granulate, acquired by Intel in 2022; Silk Security, acquired by Armis in 2024; and Prompt Security, acquired by SentinelOne in 2025.
Beyond these high-profile exits, Hetz continues to nurture its active portfolio. Recent funding rounds at startups such as Majestic Labs and BlinkOps demonstrate the firm’s emphasis on identifying founders early and supporting them through successive stages of growth.
“Despite one of the most difficult years in Israel’s recent history, innovation here hasn’t paused for a moment but even accelerated,” said Taub. “There has never been a more ambitious generation of Israeli entrepreneurs who are thinking bigger.”
Fund IV, Taub added, is not just a vote of confidence in Hetz Ventures, but in the Israeli startup ecosystem as a whole, signalling sustained investor optimism despite geopolitical and economic headwinds.
Positioning in the Global Venture Landscape
Hetz Ventures has carved out a specialist niche in Israel, focusing on foundational technologies that underpin the global cybersecurity and AI infrastructure markets.
By concentrating on early-stage companies rather than spreading investments across a wide range of sectors or later-stage growth rounds, the firm aims to maximise both impact and returns.
The fund’s strategy comes at a moment when cybersecurity and AI startups continue to attract outsized investor attention, as businesses and governments alike seek tools to secure data, manage risk, and leverage AI for strategic advantage.
With Fund IV, analysts say Hetz Ventures positions itself to continue building the next generation of globally relevant Israeli tech companies, providing capital, mentorship, and market guidance from inception to exit.
Confidence in Israel’s Early-Stage Tech Ecosystem
Hetz Ventures’ successful closing of Fund IV signals strong confidence in Israel’s early-stage cybersecurity, AI, and data infrastructure startups.
By raising $140 million and bringing total assets under management close to $500 million, the firm demonstrates that investors are willing to back highly specialised, technically complex ventures with long-term growth potential rather than short-term consumer trends.
Experts say this vote of confidence underscores Israel’s position as a global hub for foundational technology innovation, particularly in sectors critical to enterprise security and AI infrastructure.
On a broader level, the fund reinforces the resilience and maturity of the Israeli venture capital ecosystem. By supporting the next generation of cybersecurity and AI infrastructure companies, Hetz Ventures contributes to Israel’s reputation as a global technology leader, ensuring that innovation continues to flourish.
Talking Points
It is impressive that Hetz Ventures has closed its $140 million Fund IV during a period of wartime and global economic uncertainty, signalling confidence in Israel’s early-stage AI, cybersecurity, and data infrastructure ecosystem.
This fund highlights the value of deep, focused investments at the pre-revenue stage, giving founders both capital and strategic support to scale foundational technologies that underpin global cybersecurity and AI infrastructure.
At Techparley, we see this as a clear example of how specialist venture capital can accelerate innovation in critical technology sectors, rather than chasing consumer-facing trends or late-stage growth plays.
By concentrating on a small number of startups, Hetz can provide hands-on guidance, from team building to market entry, increasing the likelihood of successful exits and long-term impact.
Fund IV also demonstrates the resilience of the Israeli venture ecosystem, showing that even amid macroeconomic uncertainty, investors remain committed to backing ambitious founders building globally relevant technology.
If Hetz executes its strategy effectively, it has the potential to shape the next generation of Israeli cybersecurity and AI infrastructure companies, positioning the country as a continued global leader in these sectors.
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