The Methodist Church in the UK has created an on-line survey to ask for opinions on BDS – Boycott, Divestment and Sanctions – a global economic, academic and cultural campaign to apply political pressure on Israel.

In a nutshell, supporters of BDS argue that Israel’s occupation of the West Bank since 1967 is brutal and contradicts international law. It must be stopped.

Israel’s advocates believe that this is a politically-correct truth, wrapped up in a lie. It is George Orwell’s newspeak at its most triumphant. After all: –

I am not an expert of Methodism, which arose in the 18th Century as a response to perceived hypocrisy in the established Church of England. I do believe that any true religion does not look to generate separation, distrust and hatred. Rather it should be seeking to invest in co-existence at grass roots level. In the past few years, Israel has made the following advances towards working with Palestinians: –

  • Contrary to BDS circulars, Israel helps to provide extra water and sewage solutions to the Arabs, inside and outside the Palestinian territories.
  • President Peres recently invited the Barcelona football team to Israel, and great efforts were made to ensure that the players visited Ramallah.
  • A new scheme has been launched to ensure that 500 Arab teachers are employed in Israeli schools
  • Increasing numbers of Arabs – Christian, Muslim, female – can be found serving in the Israeli army
  • The ‘Save A Child’s Heart’ campaign in Tel Aviv has saved the lives of hundreds of Palestinian children with cardiac conditions over the past two decades. (Actually, the team is currently involved in a unique project in Tanzania. Should that too be boycotted?)

All that is left for me to understand is what precisely the proponents of the boycott intend to achieve? Yes, they can put pressure on celebs like Stephen Hawkings not to visit Jerusalem, even though the very tools keeping the professor alive are powered by Israeli tech. Please note that Microsoft, Siemens, HP, General Motors, Facebook, R&D centres operating in Israel and turning out services for the whole world. Just check out on the internet re the levels of foreign investment in Israel. (However, I suggest caution before using Google, as it is co-owned by an Israeli.)

PWC estimates that Israeli exists in 2012 were valued at US$5.5 billion (mainly from overseas) and this figure will be topped in 2013. This year has already seen:

  • IBM purchase Trusteer, which protects millions of bank accounts in the UK and America from computer theft.
  • Communications giant, Cisco, add intucell to ten other Israeli acquisitions. These applications are found next to the television set and in the phones of billions globally.
  • Facebook buy onavo to enhance its mobile app capability.

Should these deals be reversed, and why? Warren Buffet, French retailer Kiabi, health giant Prolor Biotech and so many more have upped their positions in Israel during 2013, effectively benefitting millions internationally.

So what is BDS really trying to say? If I refer back to the position of the Israeli advocates, they point out that one of the founders of BDS, Omar Barghouti, advocates for the total destruction of the Jewish state of Israel, even though he studied at the University of Tel Aviv.

I suppose this same Barghouti would boycott all the theories and the science of Albert Einstein, because the estate of this Nobel Laureate has been dedicated in its entirety to the Hebrew University of Jerusalem. This leaves many to believe that BDS is another name for the theory of relative hatred.

In a fascinating blog, Colin Raney describes how mobile apps are changing the face of marketing. Even though the charges have usually been reduced to a minimum, “the lesson is clear: the point of payment isn’t just the end of a customer’s journey, but rather an experience to be consciously designed.”

Designers are quickly learning that instead of asking for money in exchange for downloading the app (when the user is used to paying), it’s best to carefully design payment moments within the experience. It’s common now to be prompted to pay for new functionality, extra gameplay, or hiding those annoying advertisements. This evolution to in-app purchases is a small shift in experience that has large implications for the developer’s business model.

For all the media noise about apps, it is surprising how many people still do not know what they are. Basically,an app is a piece of software, designed for smartphones. Advances are so rapid that for example 4G technology is now enabling medical tests to be performed from the home environment and sent to the doctor immediately for evaluation.

Israel has been at the forefront of the internet and communications industrial revolution. So, it is no surprise that start-ups from the Holy Land have jumped with two feet into the deep end of this new sector of commerce.  Notable success stories included the exit of Waze to Google for over US$1 billion. IBM has taken over Trusteer for ‘only’ US$800 million. And this pattern had been set up earlier this year by Cisco, which purchased Intucell for US$450 million.

A recent survey has assessed that apps are used more in Israel than in any other country. It could not be too much of a surprise when “The Verge, an online tech magazine, revealed that the Israeli firm Any.do played a role in inspiring Apple’s iOS 7’s new look.”

The head of Israel’s export institute noted in a conference last week that 2013 has been a year of contradictions. Exports, which are fundamental to secure the growth of the country, have been stagnant. Yet exits, as described above, are now just as valuable contribution to the economy.

I detected another irony. If Israeli management has historically had a weak point, it is in the field of marketing, specifically international sales. (Yes, Israelis did create GPS tech.). Maybe the country’s success in mobile apps will also encourage a new style of commercial leadership.

Yesterday’s meeting of the Jerusalem Business Networking Forum turned out to be a fascinating event, evaluating the role of CISCO in the Israeli economy.

For dummies like me, what CISCO has been doing for the past three decades is helping to ensure that our internet services go faster. Israel, as a start up nation, has been at the forefront of the communications and high tech revolution in this period. Ergo, Cisco opened up an office in Israel back in 1995.

The two speakers gave an overview of CISCO – how it expands via natural growth, aquisition and partnerships – and then why it purchased for US$5 billion NDS, a Jerusalem-based former start up. Effectively, the NDS story was a case study for why CISCO is so ‘into’ the Israeli market. The facts make for fascinating reading.

Of CISCO’s 116 acquisitions over the decades, 11 have been in Israel. When the company purchased Intucell earlier this year, CISCO crossed the 2,000 employee mark in the Holy Land. It has made 21 additional investments and holds positions in two local VCs, including Sequoia Capital. By the end of 2013, it will embark on two further VC projects and have opened a center of excellence for cyber security.

The match with NDS – now formerly part of CISCO – came about through a market need, clear symmetry and a leading technology, developed via chutzpah and former military skills. Here is the interesting thing: NDS provides encryption and security technologies, which puts TV into your homes. Summing up their various product lines, NDS services can be found in about 450 million homes around the globe. Stunning.

It is difficult for me to consider to find a comparable technology, although I did recall Trusteer, another former Israeli start up that was purchased earlier this month by IBM for a sum that may approach the US$1 billion level. “Seven of the top 10 US banks and nine of the top 10 UK banks use Trusteer’s solutions to help secure customer accounts against financial fraud and cyber attacks.” That is a lot of people and financial wealth that are benefitting from Israeli brain power.

Where CISCO will move on to in the Israeli economy, I am not sure. However, just look what they have attained through NDS, a company where for religious reasons many of the employees do not even possess a television !

What makes a successful serial entrepreneur?

There are all kinds of blogs telling us the ‘4 main characteristics‘ or insider insights or revealing secrets of the profession. The fact is that if we knew the answer, newspapers or school teachers would be picking out the geniuses very early in their professions.

Israel’s Shlomo Kremer has been described as “one of the world’s greatest information security entrepreneurs”. He has just made the headlines again because he is one of the prime investors in Trusteer, which was sold to IBM for US$700m.

Of his other companies, Worklight was handed off for US$ 90 million in 2012. The previous year, Digital Fuel changed owners for US$120 million. And he is currently placed in a series of other ventures such as WatchDox, SkyFence and Alicanto, which are all plodding along nicely, thank you.

So what makes this 47 year old Israeli, temporarily living in Silicon Valley, such as hit when handling Israeli companies…..tens of thousands of miles away? And when I say managing, press reports indicate that this is often hands-on!

Reading between the articles, it would seem that Kremer is a man who has foresight. He understood very early on the impact of apps. In parallel, he is a person, who will get his hands dirty, trying to ‘muck in” and help. He demands expertise and the best, while prepared to talk with and then motivate people even at the bottom of the company ladder.

I assume that Kremer must have leadership qualities, a phrase casually thrown around by many without knowing what it means. And what does this teach us mortals?

I caution against trying to copy or to emulate. After all, Kremer did not become a whizz kid overnight. We can watch and observe and then look internally. What specific attributes of ourselves are we prepraed to change, a step at a time?

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