Elisha Yanay, General Manager of Motorola Israel and Chairman of the Israel Association of Electronics and Software Industries, said not long ago that in recent months the high-tech industry has lost close to 3,000 hardware and software development jobs to countries offering lower labor costs. Yanay called on the government to draft a plan to stop this loss of jobs to offshoring and give Israel a strong position relative to other countries that lure Israeli companies into relocating R&D, followed quickly by production. Yanay further stated, "The multinationals whose centers are outside of Israel (for example, Intel, Motorola, IBM, Cisco, etc.) and the "multinational" Israeli companies (such as Teva, ECI, RAD, Comverse, Amdocs, Formula, etc.) are moving their R&D activity out of the country. In less than a year, we may find that we have lost 30%-40% of these jobs in Israel.

http://www.matrix.co.il/en/Experts/Pages/OffshoreinIsrael.aspx

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