Sadly you're all right. This is the answer I finally got:
Hello from Kindle Support,
Thank you for giving me the time to see why the Graphite Kindle DX will not ship to Israel. After speaking with members of our leadership team, they have told me that the Kindle Graphite DX is not supposed to ship to Israel. They also mentioned that the WiFi devices have been the only ones that have been able to ship there. I'm not sure why you were able to see that the Graphite DX was able to ship to Israel. Because of rules and Government restrictions, we are only able to ship the Kindle WiFi device to Israel.
I am sorry that I do not have better news for you.
Best regards,
Chris C.
Amazon.com
I spoke again with my friend - apparently I was mistaken. A friend of his bought it for him in the states and sent it to him. The weird thing is I remember when I tried buying Kindle DXG before and it was available. I only backed out in the last step because I convinced myself to wait and see what Sony has to offer. Also there is
this thread here which shows that other people as well bought the Kindle DXG in Israel.
Oh well. I will now go and read bad reviews of the Kindle to persuade myself that I don't really want it
.