AI Talent Demand Soars in Israel as Tech Salaries Hit New Highs

Israel’s High-Tech Job Market: A Surge in AI Demand

In the first half of 2025, Israel’s high-tech sector posted twice the number of artificial intelligence (AI) job openings compared to the entire year of 2024. This surge reflects an unprecedented demand for AI talent, fueled by widespread adoption of generative AI in product development and marketing. Startups focusing on agentic AI and large-language-model (LLM) infrastructure are emerging rapidly, while established companies are integrating AI deeply into their products.

Venture capital investment in AI startups has played a key role in driving this demand, making top-tier AI professionals highly sought after.

Top AI Roles in Demand

GotFriends, Israel’s leading tech recruitment firm, highlights six key roles where the talent race is most intense:

• AI researcher/scientist
• LLM specialist
• AI security researcher
• Generative AI developer
• AI-focused data engineer
• AI product manager

Companies specializing in AI offer an average monthly salary of ₪43,085 (around $11,500), the highest in Israel’s tech sectors. Engineers with hands-on experience in models like GPT or LLaMA—especially those skilled in fine-tuning, retrieval-augmented generation, or product integration—receive premium pay compared to those with general AI knowledge.

Salary Trends Across Tech Roles

Between January and June 2025, salary increases of 4–6% were recorded for roles involving C++, Python, product management, and algorithms. These skills remain valuable as AI becomes central to product strategy and development.

On the other hand, salaries for quality assurance, mobile development, and frontend roles declined by 3–10%, reflecting the impact of automation and a larger talent supply in these areas.

Mid-career professionals with three or more years of experience saw monthly earnings rise to ₪39,247 ($10,500), up from ₪37,071 in 2024. Meanwhile, junior-level pay stayed flat at about ₪17,500 ($4,700), indicating a clear market preference for experienced, specialized talent.

Closing the Gender Pay Gap and Hiring Incentives

The gender pay gap in Israel’s high-tech industry remains at ₪2,600 per month. To secure candidates quickly for critical roles, some employers have brought back signing bonuses ranging from one to six months’ salary.

Advice for Product Development Professionals

The high-tech market is evolving around AI rather than shrinking. Both junior and seasoned employees face challenges due to shifting demands. For product development professionals, connecting your existing skills to AI-related areas can unlock new opportunities.

Exploring targeted AI training can help sharpen expertise in this fast-changing field. Platforms like Complete AI Training offer courses that focus on practical skills in AI development, product management, and integration with emerging technologies.

Staying updated on AI trends and building specialized knowledge in generative AI or LLMs will position you well in Israel’s competitive market.