US chipmaker Intel, German car supplier Continental, Samsung Electronics, Daimler, Ford Motor and General Motors are among companies that bought startups or set up their own development centers in Israel.
Ford said its new center will operate in close co-ordination with the company's machine learning unit, SAIPS, which the US carmaker acquired about three years ago.
SAIPS CEO Udy Danino has been appointed as Israel technical director for the new center.
Ford's global network of research centers include Aachen in Germany, Nanjing in China and Dearborn in the US.