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State audit warns Israel’s cyber preparedness gaps threaten economy and security

From Jerusalem Post · () English

Summarized and contextualized by DistantNews.

At a glance

News Named sources Under investigation
  • A state audit warns Israel's cyber preparedness gaps before and during the Israel-Hamas war pose significant risks to its economy and security.
  • Cyberattacks against Israeli entities increased in scope and intensity post-October 7, shifting from influence operations to destructive and information-gathering attacks.
  • The National Cyber Directorate failed to submit required reports, and a key steering committee for critical infrastructure did not convene regularly, undermining national cyber defense.

Israel's cyber-preparedness gaps before and during the Israel-Hamas war represent a "comprehensive and significant warning," according to a State Comptroller's report. The audit, which examined key government bodies and economic entities from February 2023 to June 2025, found that cyberattacks against Israeli organizations escalated in scope, intensity, and creativity after the war began on October 7, 2023.

The report found that cyberattacks against Israeli bodies increased in scope, intensity, daring, and creativity after the outbreak of the war on October 7, 2023.

— State Comptroller's reportDescribing the escalation of cyber threats during the war.

Initially focused on influence operations and denial-of-access incidents, cyberattacks evolved towards destructive operations, including data deletion, and by 2024, towards collecting information on civilians and critical processes. The National Cyber Directorate assesses that the threat from cyberattacks will continue to intensify. While Israel did not suffer a cyber incident that significantly harmed the economy during the audit period, hundreds of incidents with substantial potential for damage were identified between October 7, 2023, and April 30, 2024.

The report cited the National Cyber Directorate’s estimate that cyberattacks cost the Israeli economy NIS 12 billion annually.

— State Comptroller's reportQuantifying the economic impact of cyberattacks on Israel.

The report highlighted that the National Cyber Directorate did not submit required semiannual reports on the protection status of computerized systems, including critical state infrastructure, to top government officials from 2020 to June 2025. Furthermore, the steering committee responsible for essential computerized systems in critical state infrastructure bodies failed to convene regularly, meeting only sporadically and not at all in 2021. It also did not convene for over a year after the war's outbreak.

Israel’s cyber-preparedness gaps before and during the Israel-Hamas war amounted to a “comprehensive and significant warning,”

— State Comptroller Matanyahu EnglmanSummarizing the findings of the audit on cyber readiness.

Prime ministers had also not initiated dedicated security cabinet discussions on cyber issues for a decade prior to the war, with only one such meeting held in 2018. The report estimates that cyberattacks cost the Israeli economy NIS 12 billion annually, with global cybercrime damage reaching approximately $8 trillion in 2023. Yossi Karadi, chief of the Israel National Cyber Directorate, warns that artificial intelligence is rapidly transforming cyber warfare, increasing the scale and sophistication of attacks.

artificial intelligence is rapidly transforming cyber warfare and expanding the scale and sophistication of attacks against governments, companies, and critical infrastructure.

— Yossi KaradiIsrael National Cyber Directorate chief, warning about the impact of AI on cyber threats.
DistantNews Editorial

Originally published by Jerusalem Post. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

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