Israel has no AI-specific legislation - enforcement relies on non-AI legislation under torts contracts administrative law and privacy protection. MIST is policy lead with non-binding AI Policy principles. Project Nimbus requires Israel Aerospace Industries and Rafael Defence Industries to use Amazon and Google cloud. Unit 8200 violated Microsoft terms of service by storing mass-surveillance data - Microsoft terminated access. Legal advocacy groups notified Microsoft of credible civil and criminal liability from prior service provision. Irish Council for Civil Liberties requested Ireland DPC investigate Microsoft processing of Palestinian mass-surveillance data. IISS published April 2026 that existing governance frameworks cannot manage commercial AI providers in military contexts. INSS published July 2 2026 that Israel needs strategic layer addressing AI model access dependency. Israel's defence export framework does not specify constitutional command transfer architecture making exported AI systems legally defensible in importing nations' courts. Liability for exported AI system decisions in constitutional governance contexts rests entirely with the importing government.
Read paper: https://doi.org/10.5281/zenodo.21217745
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