Israel’s life science industry has changed beyond recognition in the 16 years since the first BIOMED conference. Today, it is one of the leading global centers of biomedical development and marketable innovative ideas in biotech, pharmaceuticals, medical devices and digital health.
One of the largest annual BIOMED events outside of the US, last year’s conference and exhibition attracted over 6,000 senior executives, scientists and engineers including 1,000 participants from 45 countries, and more than 4,500 one-on-one meetings.
Global industry leaders and investors see Israel’s biomedical sector, with its broad range of products and technologies, combined with the country’s spirit of entrepreneurship and academic workforce, as a valuable center of innovation and profitable investments. This is reflected in the top international figures attending and addressing the annual BIOMED conference and exhibition in Tel Aviv.
Conference Co-Chairperson Ruti Alon says “This year’s conference is co-organized by leading international and Israeli healthcare institutions with the objective of exposing participants to experts within the Israeli healthcare ecosystem, and allowing local and global attendees to mix and exchange knowledge and ideas. Concurrently, as we aim to continue to increase the flow of investors in the Israeli biomed industry, we have added organizations whose sole “raison d’etre” is facilitating financial and joint venture interactions between Israeli and global healthcare players.”

BIOMED Conference Theme - Aging
Ms. Alon adds, “One of the main subjects this year is aging and age related diseases. Today, healthcare systems focus especially on the area of trauma and age related diseases. Most of the companies presenting at the conference in general, and specifically in the digital health track, will try to address the needs and suggest solutions to problems to the burning needs of this group.”
“It is for the first time in history that most people can expect to live into their 60s and beyond. The consequences for health, health systems, their workforce and budgets are profound. Between 1960 and 2015 the world population has aged significantly, going from 5% to 8.3% of total. The rate is only going to increase and accelerate. In North America, these figures have gone from 9% to 15%.”
The number of Americans aged 65 and older is projected to more than double from 46 million today to over 98 million by 2060, and the 65-and-older age group’s share of the total population will rise to nearly 24% from 15%.
Globally, in 1950, 1 in 15 persons aged 60 or older was 80 or above; in 2000, this ratio increased to 1 in 9 and by 2050 it is expected to increase to approximately 1 in 5. Today, the number of people who are 85 and older is about 2% of the American population. It is currently believed that by 2015 the rate will rise to 4.3%.
One cannot ignore these facts. Governments, societies, healthcare systems and industries need to adapt their thinking, laws, facilities, services, and products. Elderly people can be major contributors to society despite the change in their overall health.
The subject of aging will be discussed through a range of tracks: health aging, neurodegenerative diseases, regenerative and cell therapies, digital health; personal diagnostics and medicine, robotics; the impact of aging on global health and economics, age related diseases, and longevity.
Conference Co-Chairperson Dr. Benny Zeevi says, “We will discuss diseases affecting the elderly population such as chronic diseases, cancer, neuro-degenerative diseases, and diabetes. As we look at the future of our healthcare system, we would like to address ways to diagnose and treat elderly patients by utilizing new methods and innovations in precision medicine, genetics, personal diagnosis, treatment and monitoring with the goal of being preventive.”
He adds, “Digital health and digital technologies can play a key role in addressing these fields, as well as addressing the “new” thriving aging population that wants to stay active, live securely at home, keep their high quality of life, contribute to the society, and be less dependent on caregivers. It is expected that people older than 50 will contribute more than 33% of US GDP in 2032.. A few of the areas of active aging like social engagement, aging with vitality, medication management, physical fitness, diet and nutrition, behavioral and emotional health, emergency detection and response, vital signs monitoring and navigation of the healthcare system will be discussed. Cybersecurity and privacy issues will also be raised in association with the use of these innovative technologies – an area in which Israel is especially strong.”

Digital Healthcare
Israel’s biomed industry is playing a key role in the emerging field of digital health. About 33% of the new biomed companies set up over the last three years are in this field. Israel leads with its experience in the electronic medical records held by its health funds, and its strength in such areas as big data analysis, ICT, biosensors and monitoring.
Dr. Zeevi says, “Digital health will dramatically change the way in which we consume and receive healthcare services, leading to better medical results and substantial savings in healthcare expenses. Israel as a leader in information, communication and cyber technologies, with more than 25 years of experience in implementing information systems and analysis in its public healthcare system, an openness and willingness on behalf of its hospitals and HMOs to implement these technologies, and close to 400 digital health companies, has the potential to be a world leader in this industry. The companies in this sector have to prove that they bring true value to healthcare systems by performing controlled clinical trials, just like any other medical product.”
Ms. Alon says, “The positive trend of growth in the digital health industry in Israel is indeed encouraging. In order to fully realize the potential of the technologies in this field, there is a need to understand global healthcare systems and markets. To this end, the MIXiii BIOMED 2017 offers a perfect platform for meetings and networking between researchers, physicians, senior executives in hospitals and life science companies, academia and industry from Israel and around the world. In the elderly group, the phenomenon of the gap between chronological and biological age is significant and detrimental in the treatment of the individual. It is important to take the approach of patient centric, collect data, analyze and learn.” It is currently accepted that personal diagnosis and treatment is the better answer, this is even more so in the elderly population.
Ruti Alon, Founder and CEO Medstrada and Co-Chair of MIXiii BIOMED 2017, founded Israel Life Science Industry (ILSI), which subsequently merged with IATI, and was its Chair since its inception in 2005. She is a former Partner at Pitango venture capital firm.
She says, “Today Israel is so much more than the Startup Nation. Since 2013, over two dozen Israeli biomed companies have held IPOs. We are seeing more mature Israeli companies bringing clinical trials to success in such areas as oncology, neurology, cardiology, personalized medicine and health IT as well as diagnostics and medical devices.”
Dr. Benny Zeevi is Co-Chair of MIXiii BIOMED 2017 and Managing General Partner at Tel Aviv Venture Partners and a former IATI Co-Chair and a former leading pediatric cardiologist.
He observes, “Israel’s life science industry continues to grow at a rapid pace with the amount of investment in Israeli biomed representing almost 25% of overall investment in the country’s advanced technologies. In 2017, we hope to see major exits, impressive amounts raised by startups and investments from the world’s major healthcare companies.”
Dr. Zeevi adds, “Israel’s life science industry is innovative in academic research, government support and includes availability of funding, which is translated into commercial success. It is based on a combination of highly educated professionals with an entrepreneurial culture, innovative spirit, and great technologies.”

Large Investments
With more than 1,200 companies operating in Israel’s life science industry and some 100 new startups added each year, the sector is flourishing. Despite the young age of many companies; nearly one third are already generating revenues.
The industry has attracted hundreds of millions of dollars in investments from VC funds, public offerings and the world’s major healthcare corporations. In 2016, investments fell slightly from 2015’s record of $900 million investments in Israeli life science companies by venture capital funds, angels, private and corporate investors.

Investing in New Ideas

Most of the investment in Israeli life science is currently coming from abroad, which is a vote of confidence in the sector. Major healthcare companies like GE, Philips, Johnson & Johnson and Merck Serono have been active in Israel for many years and have local R&D centers. Medtronic, through its acquisition of Covidien, is also operating R&D centers in Israel. Fosun and Sinopharm are among the larger Chinese companies that have lately invested in Israel’s biomed sector.
It appears that much of the current international activity is focused on investment with local partners via the Israel Innovation Authority’s incubators initiative. Microsoft is involved in Israel’s healthcare sector through its accelerator.
There is more interest from Asian investors e.g. Japan’s Takeda teaming with Johnson & Johnson and Orbimed to operate a new Biopharma Incubator, named Futurx; Roche arrangement’s with Pontifax, and Becton Dickinson, a global medical technology firm partnering with IBM in its Alpha Zone Accelerator. Boston Scientific, together with Intellectual Ventures, Med-Accelerator and Tel Hashomer Hospital’s commercialization company, is investing in the fields of medical devices, combined medicine and digital health for operations, diagnostics and treatment. Another incubator, a partnership between Maccabi Health Fund, Cleveland Clinic, eHealth Ventures, Downing Partners, Shanghai Creation, Shafa Invesco, Medison Pharma and others, is focusing its investments in digital health. Medtronic and IBM together with Pitango Venture Capital and Rambam Hospital have created an incubator, MindUp to invest in digital health. Teva has teamed with Philips to set up the Sanara Ventures incubator which will focus on medical IT, and has also teamed with IBM’s Watson Health Cloud program. Other large corporations are looking for a variety of business arrangements.

Win-Win Situation
Ms. Alon concludes, “I know it is a tough time now to raise money on stock markets but clever ideas and products will always be able to find investors whether venture capital, angels or the large multinational pharmaceutical and healthcare companies. Israel has a great healthcare system, excellent physicians, scientists, biotech engineers, data analytics and more. It is a win-win combination.”