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Israel’s defense industry is banking on a new era of high-tech warfare, as its laser interception systems debut in combat during the ongoing Swords of Iron operation.
The timing is crucial: NATO allies are preparing to boost defense spending to 5% of GDP, potentially unlocking €800 billion in new procurement—money that could catapult Israel’s next-generation laser technology into a multi-billion-euro export success.
The Israeli Defense Ministry recently confirmed that Rafael Advanced Defense Systems’ laser technology was used operationally for the first time in the current conflict.
Two systems are in the spotlight: Magen Or (Iron Beam), a 100-kilowatt laser co-developed with Elbit Systems, and Lahav Barzel (Iron Sting), a compact 30-kilowatt system designed for mobile deployment.
Both were built with energy efficiency, cost reduction, and real-time battlefield responsiveness in mind.
Unlike traditional interceptor missiles that cost hundreds of thousands of dollars per engagement, laser systems require only a few dollars’ worth of electricity per shot.
Lahav Barzel, mounted on Plasan’s SandCat armored vehicle, was seen intercepting Hezbollah drones during combat. Instead of a dramatic explosion, the laser’s heat gradually compromises the drone’s structural integrity, causing it to crash—a quiet but effective defense method with significant cost advantages.
Israel’s military has achieved over 10,000 successful interceptions since 2011, largely thanks to the Iron Dome system, also developed by Rafael. Yet, despite global interest, the full Iron Dome platform has never been sold abroad.
While the U.S. Marine Corps acquired interceptors and the UK purchased its battle management system, no country has obtained the complete system—often due to political and strategic sensitivities.
Other Israeli systems have enjoyed greater export success. The Arrow 3 missile, developed by Israel Aerospace Industries, was sold to Germany for $3.5 billion.
David’s Sling, another Rafael creation, was sold to Finland for €317 million. Meanwhile, the Barak MX air-defense system has accumulated roughly $10 billion in sales worldwide.
Rafael’s Spike anti-tank missiles, now NATO standard, are produced in Germany with earlier production in Poland.
Now, with lasers emerging as the future of cost-effective air defense—especially against the growing threat of drones—Israel is pushing hard for its systems to be integrated into NATO arsenals.
However, geopolitical headwinds remain. While the United States has deployed similar laser systems on naval vessels, Israel is on track to become the first country to field land-based lasers in active service.
Still, Rafael CEO Yoav Turgeman warns that political pressure, especially from European governments critical of Israel’s operations in Gaza, could hinder exports.
France reportedly tried to block Germany’s Arrow 3 purchase, and several countries have played down Israeli deals to avoid domestic backlash.
Yet the strategic case is strong. With Russia’s aggression reshaping European security priorities, NATO members like Germany, Poland, Sweden, and Finland are urgently seeking next-generation defenses.
Israel’s laser systems—proven in combat, cost-effective, and operationally ready—may offer exactly what NATO needs, if politics don’t get in the way.