No, The Israeli army (IDF) didn’t start to manufacturer phones. IDF in conjunction with Motorola have released a smartphone for their own use. Not like any army in the world that signs a contract to buy secure phones from known companies, the IDF prefer to build it like they want from top to bottom.
Until now the IDF used encrypted phones called Mountain Rose (Vered Harim), a first generation phone that only had the ability to make and receive calls.
The new smartphone is 4G and can change networks from civilian to the secure army network. Because it’s a kind of secret phone, the army haven’t released any specs but we know it has a selfie camera and a rear camera of 8MP. GPS and full android touch screen included.