Industry

A major transformation is unfolding in the Israeli television market as Channel 13 prepares to change hands in a deal that reflects broader tensions—and opportunities—shaping the global media industry. According to the news published by Haaretz "Israel's Channel 13 to Be Sold to Anti-government High-tech Entrepreneurs, Shunning Billionaire Netanyahu Ally" , billionaire Len Blavatnik has signed a memorandum of understanding to sell control of the network to a group of Israeli tech entrepreneurs led by Assaf Rappaport. The move marks a turning point not only for the broadcaster itself, but also for the evolving relationship between media ownership, technology capital, and editorial independence.

At the heart of the acquisition is the Merit Spread Foundation, a non-profit entity that will become the channel’s controlling shareholder. The foundation will immediately inject tens of millions of shekels to stabilize the company and cover its debts, while Blavatnik will retain a 25% stake once the transaction is finalized.
What makes this operation particularly notable is its structure. In a media landscape typically dominated by large conglomerates or telecom players, Channel 13 is instead moving under the umbrella of a philanthropic organization supported by private capital.
The foundation is expected to invest around $100 million in the coming years, with a clear focus on strengthening original content, expanding digital platforms, and reinforcing the channel’s news division. The stated ambition is not only financial recovery, but long-term repositioning.
This approach signals a shift toward hybrid ownership models, where financial sustainability is combined with a declared commitment to public interest and editorial autonomy.

The agreement comes just days after the expiration of an exclusivity deal with Patrick Drahi, owner of HOT and i24 News.
That potential acquisition had raised significant concerns within the industry, with critics warning that it could further concentrate media influence in alignment with the current government. Against this backdrop, the entry of a diverse group of tech entrepreneurs—many of whom have built and exited global companies—offers a markedly different trajectory.

Rappaport, who recently sold Wiz to Google in a $32 billion deal, is the driving force behind the investor group. Alongside him are figures such as Nir Zohar and Kobi Richter, among others. Each investor is expected to contribute at least $1 million, creating a collective funding base that blends entrepreneurial capital with a broader civic motivation.
This reflects a growing global pattern: tech leaders increasingly stepping into media ownership, not only as a business opportunity but as a way to influence—and in some cases protect—the information ecosystem.

A central element of the deal is the decision to operate through the Merit Spread Foundation, effectively creating a buffer between the investors and the channel’s editorial operations. This structure is designed to mitigate potential conflicts of interest and avoid the perception of direct political influence—an especially sensitive issue in Israel’s current climate, where media independence has become a focal point of public debate.
Rappaport himself has been an outspoken voice on democratic governance and institutional balance, adding further weight to the symbolic dimension of the acquisition.

For Channel 13, the deal represents more than a financial rescue. It opens the door to a strategic relaunch built around content investment, digital innovation, and renewed positioning within both the local and international markets. For the wider industry, it offers a compelling case study. As traditional broadcasters face mounting pressure from global streaming platforms and shifting audience behaviors, new ownership models are beginning to emerge—ones that combine capital, technology, and, increasingly, purpose.