Cyberbit Shuts Down Israel Operations Amid Cybersecurity Industry Shifts

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Cyberbit, a cybersecurity training provider, has announced the closure of its Israeli office and the termination of local employees as the company refocuses its operations toward the United States following its acquisition of RangeForce. The decision marks a significant shift in the firm’s geographic and operational priorities.

Strategic Shift to U.S.-Centered Growth

The Israeli branch, which previously employed several dozen individuals, is no longer operational. This move severs one of the last public connections between Cyberbit and its origins as a spin-off from defense contractor Elbit Systems. The company initially gained recognition for developing cyber ranges—interactive platforms enabling organizations to simulate cyberattacks without compromising live systems.

Historical Context of Israeli Operations

Financial restructuring efforts began in 2020 when the Charlesbank Technology Opportunities Fund injected $70 million into Cyberbit. Of this, $48 million was allocated to acquire a portion of Elbit’s stake, while the remaining $22 million was directed into the company’s operations. By 2023, Elbit had divested its remaining shares, allowing Cyberbit to operate independently.

U.S. Market Prioritization

In recent years, the company has increasingly prioritized U.S. markets. Its global workforce now exceeds several hundred employees, with the majority based outside Israel, particularly in the United States. The closure of the Israeli office aligns with this trend, driven by business strategy rather than external disputes or customer-specific factors.

Acquisition of RangeForce

The acquisition of RangeForce in September 2025 further accelerated Cyberbit’s expansion into U.S. and European markets. This move added cloud-based training labs, expanded cyber range content, and introduced teams outside Israel. It also enhanced the company’s offerings for enterprises and public sector clients seeking to train personnel in realistic breach scenarios.

Geopolitical and Operational Considerations

While Cyberbit has not explicitly tied the Israeli closure to political factors, the decision occurs amid heightened scrutiny of U.S. tech firms with ties to Israel. In 2024, reports emerged about Microsoft’s handling of accounts linked to Palestinian users in Gaza, though the company denied targeting users based on location. Additionally, Microsoft faced scrutiny in 2026 over its Israel operations after an inquiry into the use of its cloud services by Israeli military units.

Cyberbit’s actions reflect a purely operational and workforce-related decision. The company’s shift underscores growing pressures on technology firms to balance global expansion with ethical and geopolitical considerations. Investors and stakeholders are increasingly evaluating not only business growth but also the implications of technology usage, customer relationships, and oversight of regional operations. Cyberbit’s transition highlights the evolving landscape for cybersecurity firms navigating complex geopolitical dynamics while maintaining a focus on innovation and market dominance.