HEADLINESTwo Million Israelis in Poverty Amid WarApple Acquires Israeli AI Startup Q.aiRafah Strikes Highlight Fragile Gaza CeasefireThe time is now 4:01 AM in New York, I'm Noa Levi and this is the latest Israel Today: Ongoing War Report.Good morning. Here are the latest developments shaping the Middle East and Israel’s role in a rapidly shifting regional landscape.In Israel, new data from the National Insurance Institute for 2024 paints a stark picture of poverty and hardship inside a country at war and under rising costs. The institute estimates about two million Israelis live below the poverty line, including roughly 900,000 children. Child poverty stands at 28%, and overall poverty remained broadly stable from 2023 to 2024 despite wartime disruptions. Food insecurity affected about 28% of households with economic factors, and 9.9% faced very severe food insecurity; 26% could only afford food that might harm health. About 27.8% of households struggle to meet all monthly expenses, and roughly 9% forgo medical treatment due to financial hardship, with 4.7% skipping a hot meal every two days. Poverty remains disproportionately high among Arab and haredi populations, who together account for 65.1% of people in poverty, nearly double their share of the population. Among non-haredi Jewish families, the poverty rate is around 14%. The report catalogs wide regional disparities, with poverty rates in Jerusalem, the North, and the South districts above the national average, while Tel Aviv and the Central district are comparatively lower. In large cities, Modi’in Illit, Jerusalem, Beit Shemesh, and Bnei Brak are among the poorest, with Modi’in Illit recording a poverty rate near 48% in cities with more than 80,000 residents. The 2024 poverty line is set at 3,547 shekels per person, with higher thresholds for couples and families. The data also show that old-age and survivors’ benefits and disability benefits carry the largest impact on reducing poverty, while wartime grants contributed a small offset in 2024. The report emphasizes that poverty is especially acute in large families, with four or more children showing a poverty incidence around 41.4%. The authors called for coordinated government investments across employment, welfare, education, housing, health, and infrastructure, including better public transport and lower-cost early childhood care. Preliminary 2025 indicators suggest further deterioration, with overall poverty rising to about 21% and child poverty to nearly 29%. The findings underscore a continuing risk of intergenerational poverty and the need for policy focus on children, families, and social services to avert long-term damage.In tech and business, Apple has agreed to acquire Israeli AI startup Q.ai for about 1.6 billion dollars, in what would be Apple’s largest acquisition to date. Q.ai is described as a secretive Israeli firm whose technology analyzes subtle facial movements to interpret user intent, a capability seen as potentially advancing Apple’s AI initiatives, including further integration with Apple Intelligence and Gemini AI systems in development. Apple executives framed the deal as expanding access to advanced imaging and machine-learning capabilities, while noting that Apple’s existing AI partnerships would continue alongside any new technologies from Q.ai. The move signals strong interest in Israeli AI and related capabilities as major tech firms seek to accelerate breakthroughs for consumer devices and security applications.On the diplomatic and security front, a number of items require note. In Gaza, the Israeli military said overnight strikes in Rafah targeted eight terrorists who emerged from underground, with three killed and further operations continuing as troops and air power conduct searches for remaining threats. The ceasefire deal brokered with the United States remains fragile, and discussions about the next phase include the opening of the Rafah crossing for limited pedestrian access and the potential involvement of a Palestinian technocratic administration to oversee governance in Gaza. While some components of the truce are moving forward, both sides have accused the other of violations, and aid delivery remains a central concern as Palestinians face dire humanitarian conditions inside the enclave.In the broader regional context, there were developments related to Iran and US diplomacy. Iran’s top diplomat, Abbas Araghchi, arrived in Istanbul for talks with Turkish officials as Ankara offered to help mediate tensions with the United States, which has floated the possibility of a military action against Iran. The discussions come as Washington has warned of possible military responses if Iran or allied figures escalate. Turkey has signaled willingness to pursue talks and to bolster security measures along its 500-kilometer border with Iran, including the possible construction of barriers and enhanced surveillance.In northern Syria, Kurdish-led ...
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