Billionaire Bill Ackman Discusses Israel, Politics, and AI Investments

American billionaire Bill Ackman recently caused a stir in Israel and on social media platform X with remarks about his Israeli wife, Neri Oxman, needing to be in the country to vote. Speaking at the ARC Summit at Sheba Medical Center, Ackman clarified that while he personally has only met Prime Minister Benjamin Netanyahu and believes he has done a good job during the war, he is not an expert on Israeli politics and does not know who the best candidate is. He stated that he and Oxman agree on some political issues but not others, and her vote would be based on what she believes is best for Israel.

Ackman, who has become a prominent voice on X, particularly since October 7th, has shifted from solely focusing on investment to expressing his views on political and economic matters. He has supported Donald Trump and was instrumental in the push to oust Harvard University's former president, Claudine Gay, over her handling of antisemitism on campus. Ackman expressed concern about the rise of "socialist Democrats" in the US, viewing it as a threat to the American economy, Israel, and Jewish people globally. He also criticized New York City Mayor Zohran Mamdani, citing concerns about rhetoric that could incite antisemitism and the visible increase in homelessness.

In a special interview with Calcalist, Ackman shared his view that capitalist models are outperforming socialist ones, citing France and California as examples of places struggling despite their social welfare systems or high concentration of talent, respectively. He believes Israel, despite its small size, has a significant advantage in the AI era due to its concentration of talent and high IQ per capita, predicting it could host a trillion-dollar company within a decade. Ackman is actively investing in Israeli companies, particularly in cybersecurity, and has already invested nearly $100 million in Israel, including a 4.99% stake in the Tel Aviv Stock Exchange which has seen a tenfold increase in value.

Ackman also revealed that he and his wife are in discussions with two Israeli universities regarding potential donations, with an announcement expected by the end of the year. This follows significant donations from other Wall Street investors to Israeli academic institutions. Furthermore, Ackman is establishing the Ackman Oxman Institute (AOI) with a $400 million investment to accelerate the development and adoption of medical rehabilitation technologies, inspired by Sheba Medical Center's ARC innovation hub. This initiative was partly motivated by a personal tragedy involving his daughter, Lucy, who is undergoing a long recovery after a severe brain hemorrhage.

Regarding the AI boom, Ackman believes it is not a bubble, although he acknowledges some inflated valuations in the private market. He sees significant business risk in highly leveraged data center builders but believes the core AI technology is sound. He is investing in Israeli AI and cyber companies, noting that while large language model companies may not capture all the value, the application of AI technology will create substantial wealth, an area where Israel excels.