Israel's Silicon Wadi

How booming Web ventures are transforming hip, arty Tel Aviv into a top city for startups

Avishai Abrahami sits on the rooftop patio of his five-year-old Web company, Wix.com, contemplating the scene below. The Mediterranean Sea gleams in the late afternoon sun, shedding rays on the wooden planks of the uber-popular Namal boardwalk at the Tel Aviv port on the city’s north end. As he reaches into the well-stocked ice cream chest for two chocolate popsicles, a programmer pulls a beer from the fridge while a kitchen staffer lays out trays of fresh melon, dates and mango for the 7 p.m. round of fruit shakes.