A new survey by Israeli recruiting firm GotFriends, seen by Globes, reports that while many tech companies continue to reduce employees and slow hiring, as part of streamlining adjustments for AI adoption, defense-tech startups are aggressively expanding their workforce. The number of new jobs in the defense-tech industry increased 20% in 2026 compared with the same period last year, and wages are climbing by about 8%. In recent months, dozens of tech companies in Israel and around the world have announced new rounds of layoffs. Many of them explained that these are part of efficiency measures due to expanded use of AI, automation of work processes, and reconfiguring the workforce structure. However, while large parts of the tech industry are laying off employees, one sector continues to move in the opposite direction. In effect, the GotFriends report indicates a change in the employment map of Israel's tech industry. The survey reports that the number of new jobs opened at defense-tech startups has increased 20% this year compared with the same period last year. At the same time, wages in the industry increased about 8%, a figure that illustrates, among other things, the increasing competition for employees with experience in the fields of software, hardware, cybersecurity and AI. According to GotFriends, among the companies currently hiring the largest number of employees in the field are Kela Technologies, Xtend, Airis Labs, D-Fend Solutions and Axon Vision. Thus, if in the past the main competition for engineers was between software, fintech and cybersecurity companies, today defense-tech startups are also competing for the same candidates, offering similar salaries and conditions. Procurement orders from the Ministry of Defense The increase in the number of jobs in defense-tech in Israel is not happening in a vacuum. It is coming in parallel with broader growth in the