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[Edit: all is clear now, see my other reply]
Speaking from Israel, I'm just as confused as you are. My best guess: Israel's reputation (before the war) as a "Start-Up Nation" was well earned, a lot of technology and innovation was happening here. Arguably still is (hard to tell with all the war stuff). So generally it made sense to invest in Israeli startups simply to advance technology in general.
But this is obviously an EU-centric program. All other countries listed are EU. So it's still weird.
Because they invest in weaponry and surveillance tech. It's the laboratory.
From the article linked by OP:
Weapons aren't really part of this.
The program is said to be for Civilian purposes only, but a lot of these aspects fall under "dual use" and it is enough to "state" a Civilian purpose. In the context of Israel we know the government and affiliated institutions to be notorious liars.
https://www.aljazeera.com/news/2024/12/18/eu-horizon-funding-israel
Manufacturing, Digital, Space Tech and Robotics are strong candidates for military technology. In particular Digital probably contains "cyber"-security which means both offense and defense capabilities for military uses, AI for mass surveillance by the police can be used for surveillance and targeting of "hostile" Civilians in a military context. Space Tech probably contains technology usable for spy satellites and missile systems. Robotics probably contains controls and technology usable for military surveillance and combat drones. As for manufacturing, high-tech military equipment relies on high-tech production systems.
It wouldn't matter, as the money that is saved is probably spent on weapons.
What are you talking about? The money doesn't go to the Israeli government, it goes to the private companies or individuals who applied for the grant. Are you saying that every single person and organization in this country invests any spare cash they've got on weapons?
I don't know the products involved in these programs as the article doesn't mention anything about that, but the vast majority of Israel's surveillance tech and related policies doesn't come from Europe but from China:
How Chinese firm linked to repression of Uyghurs aids Israeli surveillance in West Bank Cameras made by Hikvision [...] blanket the occupied West Bank.
Mass Surveillance Fuels Oppression of Uyghurs and Palestinians Israel, Like China, Has Weaponized Surveillance Technology to Suppress Peaceful Dissent
Even 'leftist' magazines have been reporting on the relationship between Chinese Surveillance and Israeli Settler Colonialism.
Ah yes aren't we stupid, it's all because of China.
Anything to deflect from our own responsibility, innit?
Some of the money went to IBM Israel:
https://www.israelhayom.com/2025/03/21/israeli-researchers-companies-secure-over-1-1-billion-euros-in-eu-grants/
IBM Israel built the infrastructure for Lavender and other automated genocide systems
https://www.aljazeera.com/news/2025/7/1/un-report-lists-companies-complicit-in-israels-genocide-who-are-they
I'm not fucking Chinese. I have a say on what WE do, not them.
Trying to parse your comment... Are you saying Europe invests in weaponry and surveillance, or Israel does? Is Israel the laboratory, as in, Europe is 'using' Israel to tests weapons?
I'm not really interested in this topic, but I don't think the programs talked about here are in those industries. Will have to check.