Israel needs domestic AI infrastructure to protect essential services, national AI chief says
Erez Askal outlined plans for Israeli computing capacity and AI development, warning that dependence on foreign providers could leave critical services vulnerable to disruptions.
By Khalid Khalil ·

Israel must develop its own artificial intelligence infrastructure to retain control over essential public services as the technology becomes central to their operation, the head of the National AI Directorate said Monday. Addressing the AI Week conference at Tel Aviv University, Erez Askal, whose directorate sits within the Prime Minister’s Office, warned against growing dependence on foreign technology companies.
Askal predicted that energy networks, water systems and hospitals would operate using AI within five to seven years. He argued that relying entirely on overseas providers would expose Israel to commercial priorities that may differ from its own, along with possible interruptions in service. Neither the United States nor China could be relied upon as the sole source of uninterrupted access to AI models over the long term, he said.
The warning follows restrictions imposed in June by American AI developer Anthropic, which temporarily limited access to its most powerful models, including Mythos, to comply with a US Department of Commerce order concerning national security. The episode highlighted how quickly access to advanced AI could be withdrawn, adding urgency to efforts by governments to secure their own technology and computing infrastructure.
Askal said Israel had decided to develop a sovereign AI infrastructure, with investment needed in electricity, computing resources, a national model, quantum computing and workforce training. He described three goals for the strategy: maintaining technological sovereignty, using AI to improve residents’ quality of life and drawing on Israeli capabilities to contribute to AI development internationally.
The infrastructure requirements would be substantial. Askal said Israel needs approximately two gigawatts of electricity capacity for AI infrastructure, data centers and semiconductor facilities, compared with current capacity of about 1.5 gigawatts. He also set a target of roughly 300,000 graphics processing units. Around 100,000 would support domestic users in academia, public services, defense and startups, while the other 200,000 would help technology companies and data centers expand in Israel.
These processors handle large volumes of data at speeds beyond those of ordinary computers, making them important for complex simulations and AI development in fields such as transport, medicine and drug discovery. But the computing infrastructure envisioned by Askal does not yet exist in Israel at the required scale. The multiyear strategy would cost an estimated $2 billion to $5 billion annually, with no funding committed so far.
Askal said cooperation with allies facing similar challenges could help Israel develop the infrastructure, although the effort would still demand extensive data, financing and time. The plans come as countries compete to build AI and quantum computing capabilities for national purposes, while increased investment by the United States and China raises concerns that others could fall behind.
Nvidia chief technology officer Michael Kagan, also speaking at the conference, placed Israel alongside the United States and China at the forefront of AI. He said Israel’s standing reflected its technological capabilities rather than population size, pointing to companies working on complex chip design, AI safety and applications. Kagan added that Nvidia chips are either designed entirely in Israel or developed with the involvement of Israeli teams.





