Apple buys Israeli AI startup Q.ai in near-$2 bn deal to leapfrog in AI and wearables

 San Francisco / Tel Aviv: Apple Inc. confirmed on Thursday that it has acquired Q.ai, a four-year-old Israeli artificial intelligence company focused on machine learning solutions for audio, imaging and human-computer interfaces.

While Apple did not formally disclose the financial terms, people familiar with the matter said the deal is worth close to $2 billion, positioning it among Apple’s biggest buys after the $3 billion acquisition of Beats in 2014.Q.ai, headquartered in Ramat Gan, employs around 100 people and was co-founded in 2022 by Aviad Maizels, Yonatan Wexler and Avi Barliya. The startup’s technology goes beyond conventional voice recognition by applying advanced imaging and AI to detect imperceptible facial muscle movements—sometimes described as “silent speech”—which could be translated into device commands without audible sound.Apple, which has been steadily ramping up its AI initiatives under its “Apple Intelligence” brand, said Q.ai’s founders and team will join the company and help integrate the startup’s innovations across its product ecosystem.The deal underscores Apple’s strategic shift toward embedding AI deeply into its hardware and software, amid intensifying competition from Meta, Google and other rivals racing to build more immersive and intuitive AI-driven devices. Meta’s AI smart glasses and Google’s evolving AI models have raised the stakes in the broader consumer tech landscape.Apple senior vice president Johny Srouji described Q.ai as “a remarkable company that is pioneering new and creative ways to use imaging and machine learning,” adding that Apple is “thrilled to acquire the company” and explore future applications