Bilateral Programs with European Countries

Israel-Europe Bilateral Industrial R&D Cooperation Programs

The bilateral programs support commercially focused R&D projects between Israeli companies and the European companies in all fields of technology, Based on agreements reached between two governments. The coordinating authorities may choose to emphasize or offer a preference to one or more technology field.

Grants to the partner companies are given up to 50% of the approved R&D project expenses plus regional incentives. Whether the grant is "conditional", i.e. that it must be repaid if the project results in actual commercial sales, is determined in accordance to the regulations of each country. As for Israeli companies, royalty payments of 3% - 5% of sales are required.

Neither equity in the companies nor intellectual property rights are taken by the governments in return for the grants.  It is up to the company partners in the R&D projects to reach a commercial understanding as to the sharing and protection of IP, as well as fair and equitable contributions to the projects, use and access to the project's results, and marketing arrangements.  A formal agreement between the company partners is required before the grant is provided. To initiate the project evaluation process, a letter of intent with regard to IP rights is required.

The bilateral programs are open to all industrial/commercial companies performing R&D, from start-ups to multi-nationals. Academic and research institutions, hospitals, and other non-profit entities may participate as sub-contractors.

The companies must have the technological, commercial and financial capabilities to successfully bring the new product to market.

To qualify, the joint R&D project must show that it is intended to develop a new product, process or application, or a technology based service, that is innovative and has significant global commercial potential. The project should be equally important for both sides.

The bilateral programs are implemented by the Israel Innovation Authority.