The Power of Dual-Use Technology

In recent years, Elbit Systems has emerged as a trailblazer in fostering innovation through its startup incubator, “Incubit”, which specializes in dual-use technologies. In addition to developing its own innovations, Elbit Systems has dedicated substantial resources to support and nurture other companies in the high-tech industry.

These startups are developing solutions that span a wide range of domains, many of which were initially unrelated to the military sector. We spoke to Eli, the VP of Innovation at Elbit Systems, to gain insights into their process and the fascinating products resulting from these collaborative efforts.

A Paradigm Shift

Over the past four to five decades, we have witnessed a steady flow of innovative technologies transitioning from the civilian sector to defense applications. According to Eli, many of the technological marvels we use daily can be remodeled to serve a military function. For instance, a civilian autonomous vehicle often incorporates components akin to those found in combat robots or UAVs.

“This vision has spurred us at Elbit Systems to actively seek out and leverage the latest advancements in civilian high-tech fields, recognizing their potential to transfer them into the military vector”, Eli underscores. “Integrating leading technological advancements and relevant solutions into the products we provide to our customers is a top priority for both us and the wider military industry.”

The Benefits of Dual-Use

Eli acknowledges that it may not always be immediately apparent how civilian technologies can be valuable in military contexts. “When approaching a typical Tel-Aviv-based startup, the idea of collaborating with Elbit Systems might not be their initial consideration during the product design phase,” he concedes. “Our role is to assist them in recognizing the value they can bring to the table.”

This phenomenon is commonly referred to as “dual-use technology,” a process that extracts the essential elements of a technology for application in various fields. Elbit Systems’ innovation branch excels in executing these projects. Eli explains, “The initial stages of these projects closely resemble our internal research and development processes. We need to foresee a minimum viable product before we can provide our expertise and resources.”

Elbit Systems collaborates with startups through various models, such as part-time partnerships, advisory roles, or long-term, full-time collaborations.

An Economic Advantage

Due to the economic challenges following the 2020-2021 COVID-19 pandemic and the stock market fluctuations in 2023, the high-tech industry has encountered significant instability. Many companies require assistance in securing substantial funding from venture capital firms. In this unpredictable environment, investments in the defense sector become increasingly appealing to startups, offering a sense of stability.

Eli emphasizes, “We all understand that military technology projects can extend over several years due to stringent regulations. However, the potential rewards for innovative products in this sector can be substantial. Well-designed advancements hold significant value in this specific market.”

Additionally, Elbit Systems holds a board membership in “Capital Nature,” a venture capital fund specializing in funding startups with dual-use technologies. Eli notes, “We guide startups through interactions with various venture capital funds, leveraging our expertise in this domain.”

Let Technology Speak for Itself

Elbit Systems established “Incubit,” a specialized greenhouse for emerging high-tech companies with products aligning with the dual-use technology framework to accommodate the growing number of startups joining their ventures. The program’s website boldly proclaims, “At Incubit, we dare to invest in deep technology: unique, differentiated, protected, or challenging to reproduce, based on technological or scientific advances.”

Through this platform, Elbit Systems has already put the dual-use technology concept into action, showcasing several noteworthy examples. Among them is “EchoCare,” a solution offered by Incubit, which delivers radar-based AI-infused surveillance for the elderly, ensuring continuous monitoring in their homes.

Eli explains, “This technology can see through walls. It can be deployed globally by healthcare providers, welfare organizations etc. But also, this kind of technology holds an enormous military potential, and can be used on various applications. That is to say, it can be bought by military and homeland security agencies, thus enhancing this solutions’ value across multiple sectors.”

Another startup in the Head-Up Display (HUD) and Augmented Reality (AR) field, known as “Spectralics,” develops thin-film optics applicable to a vehicle’s windshield. This technology creates an expansive field of view with infinite focal depth, essential for crafting immersive augmented reality experiences. “Both the civilian and military automotive industries plan to integrate this feature soon, simplifying the generation of economic interest in such a product,” Eli explains.

“Our objective is to transform the startups we invest in into off-the-shelf solutions for Elbit Systems’ future engineers and scientists. These investments are undeniably valuable to us already, as they offer innovative solutions that can be readily implemented to enhance our capabilities,” Eli concludes.

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