Formula Systems
Full Text
פורמולה מערכות (1985) בע"מ
Head office: Terminal Center, Yahadut Canada 1 st., Or Yehuda 6037501, Israel. Tel.: +972-3-5389292
Formula Systems (1985) Ltd. is an Israeli publicly traded information technology group that operates in 60 countries worldwide.
The group’s companies specialize in the production and development of software for the defense, utilities, telecommunications, healthcare, local administration, insurance and banking sectors, and implement technologies such as cloud, cyber, digital, data, and AI.
The company is controlled by the Polish multinational software company Asseco Poland S.A. (WSE: ACP).
The company's subsidiaries, Matrix IT, Magic Software, and TSG Systems, provide services to the Israeli Ministry of Defense (IMOD), the Israeli military, security forces, and defense industries.
Matrix IT
Formula Systems holds 48.21% in Israeli information technology company Matrix IT (TASE: MTRX). Matrix IT provides various computing services and products to the Israeli Ministry of Defense, the Israeli military, and security forces, including the Israel Police, Border Police and the Israel Prison Service. Through its subsidiaries, the company also provides computing services and equipment to the Coordinator of Government Activities in the Territories, including to the Israeli Civil Administration in the occupied West Bank, and has previously provided to the Israeli military District Coordination and Liaison in Gaza.
For more, see Matrix IT company profile.
TSG IT Advanced Systems
Formula Systems’ subsidiary, TSG IT Advanced Systems Ltd. (TSE: TSG), is jointly owned with Israeli state-owned weapon manufacturer Israel Aerospace Industries (IAI), with each owning 42.32% of the company's shares.
TSG produces software systems primarily for the defense sector. The company develops control, monitoring and supervision systems that support decision-making, command and control systems for air and sea spaces, tactical systems, intelligence systems, and recording and interrogation systems.
Services to the Israeli Ministry of Defense
70% of the TSG IT’s revenue comes from the defense sector, mainly from the Israeli Ministry of Defense and the Israel Aerospace Industries. The company provides software solutions and services to the IMOD and the Israeli military, which account for 31% of its defense sector operations, and to Israeli weapon manufacturers Elbit Systems and Rafael Advanced Technologies.
The company provides command and control systems for the Israeli military General Staff and various commands, including information fusion systems, intelligence research systems, recording systems, systems for homeland security, systems for managing communication networks, and software consulting services. The company develops, among other things, aerial imaging systems that include identification and tracking and are used for interception and warning, command and control systems, emergency preparedness and response systems, intelligence systems for planning attacks on targets, and intelligence systems for law enforcement authorities.
Under contracts with the Israeli government, some of the rights to the company's technologies and inventions are retained by the Ministry of Defense.
According to the company's agreement with the Israeli Ministry of Defense dated June 26, 2019, for an indefinite period, the company is obligated to pay the Ministry royalties from its export sales in relation to sales resulting from government-funded development.
Gaza Genocide
TSG developed and provided system implementation and maintenance for the Ministry of Defense during the genocide in Gaza.
According to the company, some of its systems have been used extensively during the ongoing military onslaught on Gaza, including systems that were used operationally for the first time. These systems include rocket and unmanned aerial vehicle tracking services, maritime imagery, real-time intelligence event prediction, and home front command and control systems.
The company participates in the development of critical defense systems, such as the Arrow and David's Slings missiles. David's Sling, also known as Magic Wand, is a Medium to Long-Range air and missile defense system operated by the Israeli military, developed by Rafael Advanced Technologies. The Arrow Anti-Ballistic Missile Defense System, developed by Israel Aerospace Industries (IAI), is in use by the Israeli Air Force. The system has been extensively used since the Israeli military invasion of Gaza in October 2023. In addition, the company provides the Israeli air defense with artificial intelligence aerial imaging technologies.
EarthSolver
TSG developed the "EarthSolver" system for the Israeli military, which is used to generate targets using mobile devices distributed in the field. In August 2020, the military began implementing the system in the Infantry Corps brigades.
EarthSolver is an automated system that provides a critical capability for guided weapon systems by producing accurate 3D targeting coordinates in real time from multi-domain sensor data. The system allows soldiers in the field to independently generate accurate coordinates for building a target bank in short periods of time. The targets are attacked using a fighter jet that is operated by the combat team in the field shortly after marking a target.
The EarthSolver system was used in the Israeli military onslaught on Gaza in 2014.
Tower of Fire
The company developed the "Tower of Fire" command and control system for the Israeli military.
The system is installed on the military's "Tzofit" aircraft and serves as a central intelligence collection means with an observation capability of tens of kilometers. The system has been operational since 2000 and is in regular use, both in routine and combat, by the Air Force, the military, and the defense establishment. The Tzofit aircraft (Beechcraft King-Air B-200) accompanies ground forces in various activities, such as reconnaissance missions in the occupied West Bank. The system is used to locate and identify targets for attacks from the air or from the ground, generate precise coordinates, and build a bank of targets for attacks.
The Tower of Fire simulator is also used in the Air Force training center.
Military Intelligence Campus
In 2020, the company was selected to establish an advanced technological infrastructure for ICT services for the Israeli Military Intelligence Campus project, “Kiryat Hamodi’in”, in the Naqab. The Campus hosts the military’s Intelligence operations and houses soldiers and officers of the Intelligence, Cyber and Technology units, as well as the headquarters units of the Intelligence Division.
For more on military projects in the Naqab, see Who Profits’ interactive map: Tools of Dispossession in the Naqab: Development and Military Projects.
Military Data Centers
In 2017, TSG, together with Israel Aerospace Industries, won a huge tender from the Ministry of Defense for a project to consolidate dozens of the military data centers and establish new computing centers in the Naqab region as part of a plan to consolidate the military's ICT infrastructure. The tender, worth hundreds of millions of NIS, was the largest technology tender in the history of the Israeli military and defense establishment, and includes long-term planning, construction, migration, operation and maintenance services in accordance with military requirements, for a period of 10 years, with an option to extend for an additional seven years.
Command and Control System for the Home Front Command
TSG is the developer of the "Shu'al" system, a military and civilian Command and Control information system in use since 2016. The system was developed by TSG for the Israeli military Home Front Command in collaboration with the military ICT Division. The central emergency response system connects all Israeli emergency and rescue organizations, including the police and the military, onto a single platform.
The Shu'al military system is used to transfer and share information between various bodies involved in home front activities, such as local authorities and government ministries, and collects vital information from military systems.
Since October 2023, the Shu'al civilian system has been used by all Israeli local authorities, including the settlement of Ma’ale Adumim in the occupied West Bank.
TSG also developed the central command and control system of the military General Staff, known as "Lake Castle".
Services to the Israel Police
In March 2022, TSG was awarded, with exemption from tender, to provide the Israel Police with version update services for a Nuance biometric speaker recognition system from May 2022 until March 2025 for 200,000 NIS.
The Nuance system has been in use by the Israel Police since 2016. The system is sold and supported exclusively by TSG.
Services to Settlements
In 2020, TSG won a tender from the Modi'in Maccabim Re'ut Municipality to establish smart security infrastructure throughout the city, estimated at hundreds of thousands of euros. The tender included the installation of dozens of smart cameras and monitoring sensors, and the establishment of a new municipal CCTV system. The council's municipal area includes the city of Maccabim, located in a “demilitarized zone” outside the Green Line in the occupied West Bank.
Ofek Aerial Photography
Services for the Israeli Civil Administration
The company's subsidiary, Ofek Aerial Photography, provides aerial photography services for the Israeli Civil Administration (ICA) in the West Bank since 2015.
In 2024, the company received from the ICA NIS 1,544,400 for aerial multivision photography services.
In November 2023, the company was contracted, with exemption from tender, to conduct aerial photography of the West Bank areas for the period from November 2023 to the end of December 2023, for NIS 300,000.
In August 2023, the company was contracted, with exemption from tender, to expand an existing contract with the ICA for aerial photography in the West Bank areas, including vertical photography, orthophotography and point-by-point photographs according to polygons. Between July 2023 and the end of December 2023, the company was contracted to conduct aerial photography in the West Bank areas for NIS 300,000.
Between January and the end of October 2023, the company carried out aerial photography sorties for the ICA for NIS 1,126,920.
Between November 2021 and November 2022, the company carried out vertical photography and photography sorties for the ICA for NIS 585,000 and NIS 1,277,678, respectively. In 2020, the company was contracted by the ICA to carry out photography sorties for NIS 299,999. In 2019, the company carried out aerial photography in West Bank areas for NIS 799,998, and between 2018 and 2019, for NIS 309,999.
Formula Systems (1985) Ltd. is an Israeli publicly traded information technology group that operates in 60 countries worldwide.
The group’s companies specialize in the production and development of software for the defense, utilities, telecommunications, healthcare, local administration, insurance and banking sectors, and implement technologies such as cloud, cyber, digital, data, and AI.
The company is controlled by the Polish multinational software company Asseco Poland S.A. (WSE: ACP).
The company's subsidiaries, Matrix IT, Magic Software, and TSG Systems, provide services to the Israeli Ministry of Defense (IMOD), the Israeli military, security forces, and defense industries.
Matrix IT
Formula Systems holds 48.21% in Israeli information technology company Matrix IT (TASE: MTRX). Matrix IT provides various computing services and products to the Israeli Ministry of Defense, the Israeli military, and security forces, including the Israel Police, Border Police and the Israel Prison Service. Through its subsidiaries, the company also provides computing services and equipment to the Coordinator of Government Activities in the Territories, including to the Israeli Civil Administration in the occupied West Bank, and has previously provided to the Israeli military District Coordination and Liaison in Gaza.
For more, see Matrix IT company profile.
TSG IT Advanced Systems
Formula Systems’ subsidiary, TSG IT Advanced Systems Ltd. (TSE: TSG), is jointly owned with Israeli state-owned weapon manufacturer Israel Aerospace Industries (IAI), with each owning 42.32% of the company's shares.
TSG produces software systems primarily for the defense sector. The company develops control, monitoring and supervision systems that support decision-making, command and control systems for air and sea spaces, tactical systems, intelligence systems, and recording and interrogation systems.
Services to the Israeli Ministry of Defense
70% of the TSG IT’s revenue comes from the defense sector, mainly from the Israeli Ministry of Defense and the Israel Aerospace Industries. The company provides software solutions and services to the IMOD and the Israeli military, which account for 31% of its defense sector operations, and to Israeli weapon manufacturers Elbit Systems and Rafael Advanced Technologies.
The company provides command and control systems for the Israeli military General Staff and various commands, including information fusion systems, intelligence research systems, recording systems, systems for homeland security, systems for managing communication networks, and software consulting services. The company develops, among other things, aerial imaging systems that include identification and tracking and are used for interception and warning, command and control systems, emergency preparedness and response systems, intelligence systems for planning attacks on targets, and intelligence systems for law enforcement authorities.
Under contracts with the Israeli government, some of the rights to the company's technologies and inventions are retained by the Ministry of Defense.
According to the company's agreement with the Israeli Ministry of Defense dated June 26, 2019, for an indefinite period, the company is obligated to pay the Ministry royalties from its export sales in relation to sales resulting from government-funded development.
Gaza Genocide
TSG developed and provided system implementation and maintenance for the Ministry of Defense during the genocide in Gaza.
According to the company, some of its systems have been used extensively during the ongoing military onslaught on Gaza, including systems that were used operationally for the first time. These systems include rocket and unmanned aerial vehicle tracking services, maritime imagery, real-time intelligence event prediction, and home front command and control systems.
The company participates in the development of critical defense systems, such as the Arrow and David's Slings missiles. David's Sling, also known as Magic Wand, is a Medium to Long-Range air and missile defense system operated by the Israeli military, developed by Rafael Advanced Technologies. The Arrow Anti-Ballistic Missile Defense System, developed by Israel Aerospace Industries (IAI), is in use by the Israeli Air Force. The system has been extensively used since the Israeli military invasion of Gaza in October 2023. In addition, the company provides the Israeli air defense with artificial intelligence aerial imaging technologies.
EarthSolver
TSG developed the "EarthSolver" system for the Israeli military, which is used to generate targets using mobile devices distributed in the field. In August 2020, the military began implementing the system in the Infantry Corps brigades.
EarthSolver is an automated system that provides a critical capability for guided weapon systems by producing accurate 3D targeting coordinates in real time from multi-domain sensor data. The system allows soldiers in the field to independently generate accurate coordinates for building a target bank in short periods of time. The targets are attacked using a fighter jet that is operated by the combat team in the field shortly after marking a target.
The EarthSolver system was used in the Israeli military onslaught on Gaza in 2014.
Tower of Fire
The company developed the "Tower of Fire" command and control system for the Israeli military.
The system is installed on the military's "Tzofit" aircraft and serves as a central intelligence collection means with an observation capability of tens of kilometers. The system has been operational since 2000 and is in regular use, both in routine and combat, by the Air Force, the military, and the defense establishment. The Tzofit aircraft (Beechcraft King-Air B-200) accompanies ground forces in various activities, such as reconnaissance missions in the occupied West Bank. The system is used to locate and identify targets for attacks from the air or from the ground, generate precise coordinates, and build a bank of targets for attacks.
The Tower of Fire simulator is also used in the Air Force training center.
Military Intelligence Campus
In 2020, the company was selected to establish an advanced technological infrastructure for ICT services for the Israeli Military Intelligence Campus project, “Kiryat Hamodi’in”, in the Naqab. The Campus hosts the military’s Intelligence operations and houses soldiers and officers of the Intelligence, Cyber and Technology units, as well as the headquarters units of the Intelligence Division.
For more on military projects in the Naqab, see Who Profits’ interactive map: Tools of Dispossession in the Naqab: Development and Military Projects.
Military Data Centers
In 2017, TSG, together with Israel Aerospace Industries, won a huge tender from the Ministry of Defense for a project to consolidate dozens of the military data centers and establish new computing centers in the Naqab region as part of a plan to consolidate the military's ICT infrastructure. The tender, worth hundreds of millions of NIS, was the largest technology tender in the history of the Israeli military and defense establishment, and includes long-term planning, construction, migration, operation and maintenance services in accordance with military requirements, for a period of 10 years, with an option to extend for an additional seven years.
Command and Control System for the Home Front Command
TSG is the developer of the "Shu'al" system, a military and civilian Command and Control information system in use since 2016. The system was developed by TSG for the Israeli military Home Front Command in collaboration with the military ICT Division. The central emergency response system connects all Israeli emergency and rescue organizations, including the police and the military, onto a single platform.
The Shu'al military system is used to transfer and share information between various bodies involved in home front activities, such as local authorities and government ministries, and collects vital information from military systems.
Since October 2023, the Shu'al civilian system has been used by all Israeli local authorities, including the settlement of Ma’ale Adumim in the occupied West Bank.
TSG also developed the central command and control system of the military General Staff, known as "Lake Castle".
Services to the Israel Police
In March 2022, TSG was awarded, with exemption from tender, to provide the Israel Police with version update services for a Nuance biometric speaker recognition system from May 2022 until March 2025 for 200,000 NIS.
The Nuance system has been in use by the Israel Police since 2016. The system is sold and supported exclusively by TSG.
Services to Settlements
In 2020, TSG won a tender from the Modi'in Maccabim Re'ut Municipality to establish smart security infrastructure throughout the city, estimated at hundreds of thousands of euros. The tender included the installation of dozens of smart cameras and monitoring sensors, and the establishment of a new municipal CCTV system. The council's municipal area includes the city of Maccabim, located in a “demilitarized zone” outside the Green Line in the occupied West Bank.
Ofek Aerial Photography
Services for the Israeli Civil Administration
The company's subsidiary, Ofek Aerial Photography, provides aerial photography services for the Israeli Civil Administration (ICA) in the West Bank since 2015.
In 2024, the company received from the ICA NIS 1,544,400 for aerial multivision photography services.
In November 2023, the company was contracted, with exemption from tender, to conduct aerial photography of the West Bank areas for the period from November 2023 to the end of December 2023, for NIS 300,000.
In August 2023, the company was contracted, with exemption from tender, to expand an existing contract with the ICA for aerial photography in the West Bank areas, including vertical photography, orthophotography and point-by-point photographs according to polygons. Between July 2023 and the end of December 2023, the company was contracted to conduct aerial photography in the West Bank areas for NIS 300,000.
Between January and the end of October 2023, the company carried out aerial photography sorties for the ICA for NIS 1,126,920.
Between November 2021 and November 2022, the company carried out vertical photography and photography sorties for the ICA for NIS 585,000 and NIS 1,277,678, respectively. In 2020, the company was contracted by the ICA to carry out photography sorties for NIS 299,999. In 2019, the company carried out aerial photography in West Bank areas for NIS 799,998, and between 2018 and 2019, for NIS 309,999.
Formula Systems (1985) Ltd. is an Israeli publicly traded information technology group that operates in 60 countries worldwide.
The group’s companies specialize in the production and development of software for the defense, utilities, telecommunications, healthcare, local administration, insurance and banking sectors, and implement technologies such as cloud, cyber, digital, data, and AI.
The company is controlled by the Polish multinational software company Asseco Poland S.A. (WSE: ACP).
The company's subsidiaries, Matrix IT, Magic Software, and TSG Systems, provide services to the Israeli Ministry of Defense (IMOD), the Israeli military, security forces, and defense industries.
Matrix IT
Formula Systems holds 48.21% in Israeli information technology company Matrix IT (TASE: MTRX). Matrix IT provides various computing services and products to the Israeli Ministry of Defense, the Israeli military, and security forces, including the Israel Police, Border Police and the Israel Prison Service. Through its subsidiaries, the company also provides computing services and equipment to the Coordinator of Government Activities in the Territories, including to the Israeli Civil Administration in the occupied West Bank, and has previously provided to the Israeli military District Coordination and Liaison in Gaza.
For more, see Matrix IT company profile.
TSG IT Advanced Systems
Formula Systems’ subsidiary, TSG IT Advanced Systems Ltd. (TSE: TSG), is jointly owned with Israeli state-owned weapon manufacturer Israel Aerospace Industries (IAI), with each owning 42.32% of the company's shares.
TSG produces software systems primarily for the defense sector. The company develops control, monitoring and supervision systems that support decision-making, command and control systems for air and sea spaces, tactical systems, intelligence systems, and recording and interrogation systems.
Services to the Israeli Ministry of Defense
70% of the TSG IT’s revenue comes from the defense sector, mainly from the Israeli Ministry of Defense and the Israel Aerospace Industries. The company provides software solutions and services to the IMOD and the Israeli military, which account for 31% of its defense sector operations, and to Israeli weapon manufacturers Elbit Systems and Rafael Advanced Technologies.
The company provides command and control systems for the Israeli military General Staff and various commands, including information fusion systems, intelligence research systems, recording systems, systems for homeland security, systems for managing communication networks, and software consulting services. The company develops, among other things, aerial imaging systems that include identification and tracking and are used for interception and warning, command and control systems, emergency preparedness and response systems, intelligence systems for planning attacks on targets, and intelligence systems for law enforcement authorities.
Under contracts with the Israeli government, some of the rights to the company's technologies and inventions are retained by the Ministry of Defense.
According to the company's agreement with the Israeli Ministry of Defense dated June 26, 2019, for an indefinite period, the company is obligated to pay the Ministry royalties from its export sales in relation to sales resulting from government-funded development.
Gaza Genocide
TSG developed and provided system implementation and maintenance for the Ministry of Defense during the genocide in Gaza.
According to the company, some of its systems have been used extensively during the ongoing military onslaught on Gaza, including systems that were used operationally for the first time. These systems include rocket and unmanned aerial vehicle tracking services, maritime imagery, real-time intelligence event prediction, and home front command and control systems.
The company participates in the development of critical defense systems, such as the Arrow and David's Slings missiles. David's Sling, also known as Magic Wand, is a Medium to Long-Range air and missile defense system operated by the Israeli military, developed by Rafael Advanced Technologies. The Arrow Anti-Ballistic Missile Defense System, developed by Israel Aerospace Industries (IAI), is in use by the Israeli Air Force. The system has been extensively used since the Israeli military invasion of Gaza in October 2023. In addition, the company provides the Israeli air defense with artificial intelligence aerial imaging technologies.
EarthSolver
TSG developed the "EarthSolver" system for the Israeli military, which is used to generate targets using mobile devices distributed in the field. In August 2020, the military began implementing the system in the Infantry Corps brigades.
EarthSolver is an automated system that provides a critical capability for guided weapon systems by producing accurate 3D targeting coordinates in real time from multi-domain sensor data. The system allows soldiers in the field to independently generate accurate coordinates for building a target bank in short periods of time. The targets are attacked using a fighter jet that is operated by the combat team in the field shortly after marking a target.
The EarthSolver system was used in the Israeli military onslaught on Gaza in 2014.
Tower of Fire
The company developed the "Tower of Fire" command and control system for the Israeli military.
The system is installed on the military's "Tzofit" aircraft and serves as a central intelligence collection means with an observation capability of tens of kilometers. The system has been operational since 2000 and is in regular use, both in routine and combat, by the Air Force, the military, and the defense establishment. The Tzofit aircraft (Beechcraft King-Air B-200) accompanies ground forces in various activities, such as reconnaissance missions in the occupied West Bank. The system is used to locate and identify targets for attacks from the air or from the ground, generate precise coordinates, and build a bank of targets for attacks.
The Tower of Fire simulator is also used in the Air Force training center.
Military Intelligence Campus
In 2020, the company was selected to establish an advanced technological infrastructure for ICT services for the Israeli Military Intelligence Campus project, “Kiryat Hamodi’in”, in the Naqab. The Campus hosts the military’s Intelligence operations and houses soldiers and officers of the Intelligence, Cyber and Technology units, as well as the headquarters units of the Intelligence Division.
For more on military projects in the Naqab, see Who Profits’ interactive map: Tools of Dispossession in the Naqab: Development and Military Projects.
Military Data Centers
In 2017, TSG, together with Israel Aerospace Industries, won a huge tender from the Ministry of Defense for a project to consolidate dozens of the military data centers and establish new computing centers in the Naqab region as part of a plan to consolidate the military's ICT infrastructure. The tender, worth hundreds of millions of NIS, was the largest technology tender in the history of the Israeli military and defense establishment, and includes long-term planning, construction, migration, operation and maintenance services in accordance with military requirements, for a period of 10 years, with an option to extend for an additional seven years.
Command and Control System for the Home Front Command
TSG is the developer of the "Shu'al" system, a military and civilian Command and Control information system in use since 2016. The system was developed by TSG for the Israeli military Home Front Command in collaboration with the military ICT Division. The central emergency response system connects all Israeli emergency and rescue organizations, including the police and the military, onto a single platform.
The Shu'al military system is used to transfer and share information between various bodies involved in home front activities, such as local authorities and government ministries, and collects vital information from military systems.
Since October 2023, the Shu'al civilian system has been used by all Israeli local authorities, including the settlement of Ma’ale Adumim in the occupied West Bank.
TSG also developed the central command and control system of the military General Staff, known as "Lake Castle".
Services to the Israel Police
In March 2022, TSG was awarded, with exemption from tender, to provide the Israel Police with version update services for a Nuance biometric speaker recognition system from May 2022 until March 2025 for 200,000 NIS.
The Nuance system has been in use by the Israel Police since 2016. The system is sold and supported exclusively by TSG.
Services to Settlements
In 2020, TSG won a tender from the Modi'in Maccabim Re'ut Municipality to establish smart security infrastructure throughout the city, estimated at hundreds of thousands of euros. The tender included the installation of dozens of smart cameras and monitoring sensors, and the establishment of a new municipal CCTV system. The council's municipal area includes the city of Maccabim, located in a “demilitarized zone” outside the Green Line in the occupied West Bank.
Ofek Aerial Photography
Services for the Israeli Civil Administration
The company's subsidiary, Ofek Aerial Photography, provides aerial photography services for the Israeli Civil Administration (ICA) in the West Bank since 2015.
In 2024, the company received from the ICA NIS 1,544,400 for aerial multivision photography services.
In November 2023, the company was contracted, with exemption from tender, to conduct aerial photography of the West Bank areas for the period from November 2023 to the end of December 2023, for NIS 300,000.
In August 2023, the company was contracted, with exemption from tender, to expand an existing contract with the ICA for aerial photography in the West Bank areas, including vertical photography, orthophotography and point-by-point photographs according to polygons. Between July 2023 and the end of December 2023, the company was contracted to conduct aerial photography in the West Bank areas for NIS 300,000.
Between January and the end of October 2023, the company carried out aerial photography sorties for the ICA for NIS 1,126,920.
Between November 2021 and November 2022, the company carried out vertical photography and photography sorties for the ICA for NIS 585,000 and NIS 1,277,678, respectively. In 2020, the company was contracted by the ICA to carry out photography sorties for NIS 299,999. In 2019, the company carried out aerial photography in West Bank areas for NIS 799,998, and between 2018 and 2019, for NIS 309,999.
Formula Systems
פורמולה מערכות (1985) בע"מ
Head office: Terminal Center, Yahadut Canada 1 st., Or Yehuda 6037501, Israel.
Tel.: +972-3-5389292
Formula Systems (1985) Ltd. is an Israeli publicly traded information technology group that operates in 60 countries worldwide.
The group’s companies specialize in the production and development of software for the defense, utilities, telecommunications, healthcare, local administration, insurance and banking sectors, and implement technologies such as cloud, cyber, digital, data, and AI.
The company is controlled by the Polish multinational software company Asseco Poland S.A. (WSE: ACP).
The company's subsidiaries, Matrix IT, Magic Software, and TSG Systems, provide services to the Israeli Ministry of Defense (IMOD), the Israeli military, security forces, and defense industries.
Matrix IT
Formula Systems holds 48.21% in Israeli information technology company Matrix IT (TASE: MTRX). Matrix IT provides various computing services and products to the Israeli Ministry of Defense, the Israeli military, and security forces, including the Israel Police, Border Police and the Israel Prison Service. Through its subsidiaries, the company also provides computing services and equipment to the Coordinator of Government Activities in the Territories, including to the Israeli Civil Administration in the occupied West Bank, and has previously provided to the Israeli military District Coordination and Liaison in Gaza.
For more, see Matrix IT company profile.
TSG IT Advanced Systems
Formula Systems’ subsidiary, TSG IT Advanced Systems Ltd. (TSE: TSG), is jointly owned with Israeli state-owned weapon manufacturer Israel Aerospace Industries (IAI), with each owning 42.32% of the company's shares.
TSG produces software systems primarily for the defense sector. The company develops control, monitoring and supervision systems that support decision-making, command and control systems for air and sea spaces, tactical systems, intelligence systems, and recording and interrogation systems.
Services to the Israeli Ministry of Defense
70% of the TSG IT’s revenue comes from the defense sector, mainly from the Israeli Ministry of Defense and the Israel Aerospace Industries. The company provides software solutions and services to the IMOD and the Israeli military, which account for 31% of its defense sector operations, and to Israeli weapon manufacturers Elbit Systems and Rafael Advanced Technologies.
The company provides command and control systems for the Israeli military General Staff and various commands, including information fusion systems, intelligence research systems, recording systems, systems for homeland security, systems for managing communication networks, and software consulting services. The company develops, among other things, aerial imaging systems that include identification and tracking and are used for interception and warning, command and control systems, emergency preparedness and response systems, intelligence systems for planning attacks on targets, and intelligence systems for law enforcement authorities.
Under contracts with the Israeli government, some of the rights to the company's technologies and inventions are retained by the Ministry of Defense.
According to the company's agreement with the Israeli Ministry of Defense dated June 26, 2019, for an indefinite period, the company is obligated to pay the Ministry royalties from its export sales in relation to sales resulting from government-funded development.
Gaza Genocide
TSG developed and provided system implementation and maintenance for the Ministry of Defense during the genocide in Gaza.
According to the company, some of its systems have been used extensively during the ongoing military onslaught on Gaza, including systems that were used operationally for the first time. These systems include rocket and unmanned aerial vehicle tracking services, maritime imagery, real-time intelligence event prediction, and home front command and control systems.
The company participates in the development of critical defense systems, such as the Arrow and David's Slings missiles. David's Sling, also known as Magic Wand, is a Medium to Long-Range air and missile defense system operated by the Israeli military, developed by Rafael Advanced Technologies. The Arrow Anti-Ballistic Missile Defense System, developed by Israel Aerospace Industries (IAI), is in use by the Israeli Air Force. The system has been extensively used since the Israeli military invasion of Gaza in October 2023. In addition, the company provides the Israeli air defense with artificial intelligence aerial imaging technologies.
EarthSolver
TSG developed the "EarthSolver" system for the Israeli military, which is used to generate targets using mobile devices distributed in the field. In August 2020, the military began implementing the system in the Infantry Corps brigades.
EarthSolver is an automated system that provides a critical capability for guided weapon systems by producing accurate 3D targeting coordinates in real time from multi-domain sensor data. The system allows soldiers in the field to independently generate accurate coordinates for building a target bank in short periods of time. The targets are attacked using a fighter jet that is operated by the combat team in the field shortly after marking a target.
The EarthSolver system was used in the Israeli military onslaught on Gaza in 2014.
Tower of Fire
The company developed the "Tower of Fire" command and control system for the Israeli military.
The system is installed on the military's "Tzofit" aircraft and serves as a central intelligence collection means with an observation capability of tens of kilometers. The system has been operational since 2000 and is in regular use, both in routine and combat, by the Air Force, the military, and the defense establishment. The Tzofit aircraft (Beechcraft King-Air B-200) accompanies ground forces in various activities, such as reconnaissance missions in the occupied West Bank. The system is used to locate and identify targets for attacks from the air or from the ground, generate precise coordinates, and build a bank of targets for attacks.
The Tower of Fire simulator is also used in the Air Force training center.
Military Intelligence Campus
In 2020, the company was selected to establish an advanced technological infrastructure for ICT services for the Israeli Military Intelligence Campus project, “Kiryat Hamodi’in”, in the Naqab. The Campus hosts the military’s Intelligence operations and houses soldiers and officers of the Intelligence, Cyber and Technology units, as well as the headquarters units of the Intelligence Division.
For more on military projects in the Naqab, see Who Profits’ interactive map: Tools of Dispossession in the Naqab: Development and Military Projects.
Military Data Centers
In 2017, TSG, together with Israel Aerospace Industries, won a huge tender from the Ministry of Defense for a project to consolidate dozens of the military data centers and establish new computing centers in the Naqab region as part of a plan to consolidate the military's ICT infrastructure. The tender, worth hundreds of millions of NIS, was the largest technology tender in the history of the Israeli military and defense establishment, and includes long-term planning, construction, migration, operation and maintenance services in accordance with military requirements, for a period of 10 years, with an option to extend for an additional seven years.
Command and Control System for the Home Front Command
TSG is the developer of the "Shu'al" system, a military and civilian Command and Control information system in use since 2016. The system was developed by TSG for the Israeli military Home Front Command in collaboration with the military ICT Division. The central emergency response system connects all Israeli emergency and rescue organizations, including the police and the military, onto a single platform.
The Shu'al military system is used to transfer and share information between various bodies involved in home front activities, such as local authorities and government ministries, and collects vital information from military systems.
Since October 2023, the Shu'al civilian system has been used by all Israeli local authorities, including the settlement of Ma’ale Adumim in the occupied West Bank.
TSG also developed the central command and control system of the military General Staff, known as "Lake Castle".
Services to the Israel Police
In March 2022, TSG was awarded, with exemption from tender, to provide the Israel Police with version update services for a Nuance biometric speaker recognition system from May 2022 until March 2025 for 200,000 NIS.
The Nuance system has been in use by the Israel Police since 2016. The system is sold and supported exclusively by TSG.
Services to Settlements
In 2020, TSG won a tender from the Modi'in Maccabim Re'ut Municipality to establish smart security infrastructure throughout the city, estimated at hundreds of thousands of euros. The tender included the installation of dozens of smart cameras and monitoring sensors, and the establishment of a new municipal CCTV system. The council's municipal area includes the city of Maccabim, located in a “demilitarized zone” outside the Green Line in the occupied West Bank.
Ofek Aerial Photography
Services for the Israeli Civil Administration
The company's subsidiary, Ofek Aerial Photography, provides aerial photography services for the Israeli Civil Administration (ICA) in the West Bank since 2015.
In 2024, the company received from the ICA NIS 1,544,400 for aerial multivision photography services.
In November 2023, the company was contracted, with exemption from tender, to conduct aerial photography of the West Bank areas for the period from November 2023 to the end of December 2023, for NIS 300,000.
In August 2023, the company was contracted, with exemption from tender, to expand an existing contract with the ICA for aerial photography in the West Bank areas, including vertical photography, orthophotography and point-by-point photographs according to polygons. Between July 2023 and the end of December 2023, the company was contracted to conduct aerial photography in the West Bank areas for NIS 300,000.
Between January and the end of October 2023, the company carried out aerial photography sorties for the ICA for NIS 1,126,920.
Between November 2021 and November 2022, the company carried out vertical photography and photography sorties for the ICA for NIS 585,000 and NIS 1,277,678, respectively. In 2020, the company was contracted by the ICA to carry out photography sorties for NIS 299,999. In 2019, the company carried out aerial photography in West Bank areas for NIS 799,998, and between 2018 and 2019, for NIS 309,999.
Ownership
The company is publicly traded on the Tel Aviv and NASDAQ Stock Exchanges under the ticker symbol: FORTY
The company is controlled by Asseco Poland S.A. (25.82%), a Polish multinational software company listed on the Warsaw Stock Exchange (WSE: ACP). Additional major shareholders include: Bernstein Gay (11.73%), Harel Insurance (7.53%), Phoenix Financial (7.12%), Menora Mivtachim Holdings Ltd. (7.11%), Yelin-Lapidot Provident Funds Management Ltd. (6.49%), Clal Insurance (5.38%).
CEO: Guy Bernstein
Directors: Marek Panek, Rafal Kozlowski
Subsidiaries
Michpal Group (100%), ZAP Group (100%), Shamrad (100%), Insync (90.09%), Ofek Aerial Photography (80%), Hashahar Telecom and Electricity Ltd. (51%) Matrix IT (48.21%), Magic Software Enterprises Ltd. (NASDAQ and TASE: MGIC) (46.71%), Sapiens International Corporation N.V (NASDAQ and TASE: SPNS) (43.51%), TSG IT Advanced Systems Ltd. (42.71%).
Partners
* This section refers to the company's general business partners
Company Response
Settlements
Global Presence
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