Hostile online activity linked to Iran has surged since the U.S.-Israel campaign against Iran began, with detected malicious cyber events nearly tripling in June compared to the previous year. Simultaneously, Israel's Defence Minister Israel Katz has warned that hostilities with Iran could resume either when U.S. President Trump deems negotiations exhausted or if Iran strikes Israel, describing any such Iranian assault as Tehran's third war.

Surge In Malicious Cyber Events

Yossi Karadi, head of Israel's National Cyber Directorate, disclosed the sharp increase in an interview, highlighting the escalating digital threat landscape amid ongoing regional tensions. Israeli authorities counted approximately 1,600 malicious cyber events in June 2025 during Israeli military activity involving Iran, while the tally for June 2026 rose to roughly 4,800, representing a significant year-over-year jump. Karadi noted that some attacker groups are highly skilled, emphasizing the need for serious vigilance.

The following table illustrates the scale of the increase in detected malicious cyber events:

Impact On Targets

The attempted intrusions have targeted a broad spectrum of victims, ranging from essential services and major institutions to smaller businesses and individual users. Professional-services firms, including law offices and accounting shops, were among the smaller organizations that came under pressure. Karadi stated that less-protected organizations sometimes saw their systems erased after being breached, though specific companies were not identified.

Defence Of Critical Infrastructure

Despite the volume of attacks, Israel has to date prevented successful hits on key infrastructure systems. "So far — and hopefully it stays that way — we've managed to fend off attacks on critical infrastructure," Karadi said. He described the cyber realm as one without a ceasefire, unlike kinetic warfare, underscoring the persistent nature of the threat.

Katz Warns Of Resumed Military Hostilities

Adding to the broader security picture, Defence Minister Katz stated that hostilities with Iran will resume either when Trump deems negotiations exhausted or if Iran strikes Israel, and that any Iranian assault would constitute Tehran's third war. Katz also disclosed that Trump linked Iran and Lebanon to reach a deal with Tehran, which prevented Israel from delivering a massive blow to Hezbollah across Lebanon. He further informed the U.S. CENTCOM Commander that Israel will not withdraw from security zones in Gaza, Syria, or Lebanon.

Israel is currently weighing the possibility of listing multi-billion-dollar defense companies on US stock exchanges through initial public offerings (IPOs). This strategic consideration aims to leverage the deep liquidity and high valuations available in the US equity markets. The potential listing involves major entities within the defense sector, reflecting a significant push for capital expansion and global investor access.

The initiative underscores the growing financial ambitions of Israel's defense industry, which has seen substantial technological and operational growth. By pursuing a US listing, these companies seek to enhance their international profile and attract long-term institutional investors. The move comes at a time when global defense spending is increasing, driven by geopolitical tensions and modernization requirements.

Strategic Rationale

The decision to explore a US IPO is driven by several factors, including the need for substantial funding to support research, development, and expansion. The US market offers a larger investor base compared to domestic exchanges, potentially leading to better pricing and valuation multiples for the defense firms involved.

Market Implications

A successful entry into the US market could set a precedent for other Israeli technology and industrial firms seeking global capital. It also signals confidence in the regulatory and economic stability of the US financial system.

The evaluation process is ongoing, with no final decisions or timelines announced yet. Stakeholders are closely monitoring the developments, as the outcome could significantly influence the landscape of the global defense industry.