♪ >> 100 basic truths of the human condition is that people love to float. and there is no better place to float within here at the agency in israel. the dead sea in israel. there is a ritual to doing it the right way. mudneed to lather up with

and relax with a good read. sergeant that to your white shirt, you handsome devil. israel has many wonderful sites ..d this is one of its finest arabs, jews, tourists , television hosts all come here and cannot hope but for together for a while and laugh. , less fetteredd joy. it would be nice if this story can remain, but i can't. to come to israel is to witness the fears tensions that loom

over the country firsthand. spy balloons floating by off and fenced in due to the, standings and random-access of violence that has become so prevalent over the past two years. world, episode of hello i will dig into how the constant theat of war gave birth to israeli technology industry. and how israel evolved into a technology giant, one with thousands upon thousands of cutting-edge startups. our journey will find me in jerusalem controlling and ipad with my eyes into gaza strip checking out iron dome close

look like everything can be moved out in a matter of hours -- >> and in nazareth i will meet with a man who wants to make sure nobody gets left behind in israel's race to innovate. silicon valley may be home to the biggest tech giants but it like neverallenged before, crazy geniuses have popped up all over the planet making things that will blow your mind. my name is ashlee vance, i am an author and journalist and i am on a quest to find the most innovative tech creations and meet the beautiful freaks behind them. ashlee: the israeli military dominates much of the country's culture. at 18 years of age, men and women had off for 2-3 years of

required service. the kids who would be trying to caterer orbest sleeping through class in the united states find themselves. dealing with the most intense of situations. these young soldiers also learn to use some of the most advanced military technology around. has given the idf them the edge, i decided to check it out up close to see the iron dome. i have traveled to a coastal city south of tel aviv that nudges up against the gaza strip. >> what you are seeing is the launcher, it has 20 missiles on it, you can see the red light flashing which means armed and ready. solee: one of the dozen or

batteries sits at the ready to intercept missiles and provide israel with a shield from aerial attacks. lieutenant colonel cohen overseas operations. is this as close as we get? >> and this is as close as we get. took three years to develop this defense system. it relies on a radar that instantly do next when a missile has been fired, algorithms quickly try to determine what kind of -- what type of projectile is in the air and whether it is heading for populated or strategic areas, if so, iron dome launches in the style of its own -- launches a missile of its own. it has taken down over 1000 missiles since 2011 with a 90% success rate.

some people question the .ccuracy of its figures what is clear is that the algorithms capable of directing projectiles while performing a cost benefit analysis on human life are among the most advanced in the world. this network of launcher is highly mobile and constantly on the move. this site is temporary. >> everything here can be moved out in a matter of hours and we move around a lot to make sure no knows where we are all the time. you live here, it is difficult to imagine just how much this technology has transformed the lives of ordinary israelis. experienceown ,itting in my own house operating this incredible system -- with the iron dome when you

see your house that you are protecting and your family and your friends and your soldiers, it is a sense of pride. ashlee: for many palestinians, iron dome means something else. visible parte most of an extensive israeli security apparatus. that includes drones, checkpoints, and espionage technology. those tools have been put to use in the west bank, gaza, and throughout israel. terrorist bombings have declined . missiles have met their match. lower forms of protests like stabbings on the rise. what's been remarkable at the speed at which young israelis take to these high-tech tools. and privatize them once they leave the army.

it peacetime or war, israeli innovations pop-up throughout the world. coming up next, we will check out and idf-inspired started that wants to send laboratories to space. why do people want to do experiments in space? byour life is dominated gravity, if we remove gravity we learn something new. ♪ byhello world is supported ca technologies, powering opportunity in the application economy, explore more at ca.com.

forget strip malls and office parks, starts in tel aviv come to life here in the city's vibrant neighborhoods. the feed of the city's energy and the employees have a chance to escape their cubicles. i came here to me one of the people that shaped the israeli kartup lifestyle ,shlomo ramer's company checkpoint invented the freaking firewall. >> we always talk about the stuff we will do afterward. ashlee: like a lot of israeli tech elites, shlomo got his

start with unit 8200, the top branch of the idf. >> it is this game is part of idf that is equivalent to an essay. -- nsa. 22-23 years old, i was the head of the unit, 20 people, very high responsibility. i was making decisions in millions of dollars. ashlee: the idf functions like a never-ending networking event. the first question at a cocktail party is what unit usurped np refer 82 hundred members, these tied -- the size of led to the market.nating what makes israel so well-suited to startups and technology? >> there is always an infusion , the idf, and a

fusion of talent you have people -- ashlee: shlomo has invested in dozens of israeli companies. to see the extreme end of what i have goneinspire to a small beach town and technology hub that brushes up against tel aviv. it is here that space pharma has set out to make interstellar drugs. if humanity would like to move out of earth, they must learn the microgravity conditions in order to survive on their way to mars and two other places. head thehe ceo used to idf tellite program. then he and his comrades hit on a big profitable idea, they assembled some space software and science experts and set to

work trying to make life easier on astronauts. >> the astronaut is not the scientist. he needs to survive, eat, pray, sleep. he cannot do too much science. pharma has built a shoebox sized laboratory that will hitch rides into orbit on rockets from companies like spacex with the goal of shirking done state-of-the-art scientific equipment and automating how it runs experiment. this would allow a great deal of science that take place on the international space station. >> we are going to go in a laboratory here. small laboratory but the equipment is big. this, you cannot bring to the idea of what we are try to do and what we are looking at is how we take this equipment and bring it down to a small scale. atypical laboratory has refrigerator sized machines,

microscopes, pipettes, liquids, and chemicals. it is a very messy process, tough enough to pull off on her. >> we just looked at all the large equipment, this is will be fit it in. ashlee: research has only led to the development of new drugs and insight about -- insights about organisms, aren't -- molecules feeling about freely and solution can behave more naturally than when they are smeared flat on a petri dish. iseveryday our life dominated by gravity. what goes up must come down pick we ashlee: removed at gravity within something new. -- wantsezus machines to use machines -- ashlee: to see what space can teach us. to pull myself out of the clouds and learn more about israel startup culture, i went for a walk on the beach back in tel aviv with another local tech legend. >> love into israel. ashlee: armed with a law degree,

-- headline number of young companies. now she runs facebook's israel operations. >> today we have something like 5300 -- there is no one country in a world that has that amount of startup success. 1400 startups in 2015. .400 new startups serve alongside men in the military year. to fly jets because -- but because of the gender restriction she had to evaluating who could become a pilot. she sees the time in the air force as crucial to her career. what is the uniqueness of the female experience in israel because of the military service?

it must have some long-term effects. >> i absolutely think women in probably start their career life with more confidence, with a feeling that in terms ofn, but women taking part, no, we are not -- i think that in israel we are probably because of the culture, i think that we are probably slower to achieve that the we are definitely seeing it. after our chat, adi insisted that i go revel in tel aviv's famous nightlife. tel aviv stands out as one of the great surprises of my travels. people had out late, often starting dinner at 9:00. the bartender's look for any

excuse to do shots with the or ats and their patrons least this patron look for any excuse to oblige. the beach, the old city, the wondersk, this is a place that feels at times as if it exists within its own bubble, separate from the rest of the country. next, i travel to jerusalem to visit a start at the saint west on peering into the future. hello world is supported by ca technologies, powering opportunity in the application economy. explore more at ca.com. ♪

ashlee: from the cosmopolitan coast i climb the winding mountain road to jerusalem. tel aviv maybe the beating heart of the israeli tech world the most jews consider jerusalem to be the country's soul. you know what they say about the soul. >> the most basic thing of human communication is i contact. by the device seeing you, you get another world of interaction.

ashlee: the window to the soul -- >> exactly, or the window to the brain and look around, look to the right, look to the left. oflee: this is the cofounder a company developing the way to withce eye tracking gear algorithms that can run on an ipad or smartphone. >> it is a little disorienting at first to play a videogame just by moving your hand -- head. movement, ie head movement, iris movement, blinks -- >> and then analysis of that ashlee:. he helps the technology will give us rapid insight into conditions like concussion. this is like when they shine the white light that you have to follow. >> exactly. and in based on the score we can tell if i have a concussion when

glycated you don't have 1 -- >> i don't have a concussion. ashlee: kaczynski thinks that these applications distinguish israel's tech scene, especially for jerusalem startups. >> people are looking for real, deep tech. you have to give a real to someone's grandmother about, what is that for? ashlee: this is the damascus gate. it is not that far at all from where we were earlier today. up in theis a sniper window who is guarding against a lot of the recent stabbings that have been going on in your jerusalem is try to turn into a technology city and this is the reality of how these businesses have to come to life, in this environment.

the moment you step into jerusalem, it is clear that the city carries the weight of thousands of years of history. andyone in the middle east by extension the world has their , on the mosque, on the wailing wall, on the spot where it is believed jesus was crucified. of land wasall spot downsized global importance , carved intouard minute slices, and fortified with laws. .- walls the barriers went up to curb violence based on asian disputes . -- agent disputes. -- ancient disputes, becoming blockades that will back opportunity. -- that old back opportunity.

-- that hold back opportunity. i traveled north from jerusalem to nazareth. the largest arab enclave in israel, a place with a laid-back vibe into very specific flavor. for [inaudible] sharma -- shwarma. israel's firsted era technology accelerator and he knows everybody in town. arabs do not have to serve in the military and black the technology connections supplied by the idf. he is working to try to fix this and to help aaron engineers benefit. engineers benefit.

a controversial move, he is linking them up with tech mobiles who have come from out -- you have come from unit 8200 or to security and espionage -- 200,yone is going out of a they are thinking about this. to awant to graduate special ngo to help them -- our community is not so popular to have a start up because it is a new industry. ashlee: he is a rebel, he was the only arab in the tech field in his class, the elite technical university. building, hes shepherded dozens of like-minded software,to build consumer services, and hardware in an effort to make sure that the air at-speaking world has the latest and greatest technology. >> i think if we can be part of

, we can create a standard of life in our community -- >> because israel is known as a sort of nation but it has left out a big chunk of people neglect exactly. there is to committees, arab and jewish orthodox the government now is putting some money to ofage them with a start nation in because it is believed that we are not part of that, that started nation will be somehow slowed here and we cannot continue to be the second place after the silicon valley. handful of his companies have already taken often made headway in billion-dollar industries. it has proven tough for them to find investment dollars. there is a bias against arab companies and many of their backers have opted to remain anonymous in front their investments through offshore accounts but he remains optimistic. years, we willg maybe have big success stories.

this can maybe attract more and more people to be part of that. ashlee: on that phone though, my time in israel came to an end. it is understandable that tourists have made fewer visits here in recent months, that the markets have grown quieter in the mood in the streets more intense. this place can seem daunting from afar. to visit israel, though, is to experience the extraordinary. our nature,s of and conflict, conformity,

imagination. swirl around together in -- in confounding and inspiring ways. i am not sure that anyone will really ever make sense of all of this. but it is spectacular to witness and feel. even if just for a short while. as for my next stop, well, that would be iceland, home of alien landscapes and astonishing amount of fish, and [indiscernible] . hello world is supported by ca technologies, powering opportunity in the application economy. explore more at ca.com. ♪

>> from our studios in new york city, this is "charlie rose." charlie: we begin this evening with politics. a report delivered to congress yesterday, the state department's inspector general criticized hillary clinton's e-mails, saying clinton violated government policies in using a private e-mail account as secretary of state. the next are asking why she did not seek permission to use it and why she refused to cooperate with the inspector general's investigation. clinton has refused to respond. at a rally yesterday, donald trump capitalized on the news. mr. trump: she is as crooked as they come.