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Intel has announced the acquisition of Israeli quantum computing software company Classiq for $2.2 billion. This is the biggest-ever acquisition of a quantum computing company and the second biggest acquisition in Israel by Intel after the $15.3 billion acquisition of Mobileye in 2017. Tel Aviv-based Classiq has developed an operating system for quantum computers.<\/p>\n
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This acquisition represents not only a gamble for Intel, which is mainly focused on developing and manufacturing core chips for computers and servers, on the quantum computing market, but also an entry into the realm of operating systems. In many respects, the deal is reminiscent of Google\u2019s acquisition of Android, which was a pioneering operating system for mobile phones, enabling Google to gain a foothold in a vast number of mobile devices during the mobile revolution and, in the process, to exert control over aspects of their hardware.<\/p>\n
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Classiq, founded by CEO Nir Minerbi, along with Yehuda and Amir Naveh (a father and son serving as CTO and CPO respectively), will become Intel\u2019s global development center for quantum computing. Beyond being the largest quantum-related acquisition in history, this deal marks the acquisition of an Israeli quantum company and represents the first time a big tech firm has purchased technology in this sector.<\/p>\n
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Classiq, which was named one of “Globes” ten most promising startups in 2022, describes itself as the Microsoft of the quantum world. The company has developed an operating system that enables execution of complex algorithms on various types of quantum computers. The operating system is agnostic to the diverse range of quantum machines currently being developed by dozens of companies using different technologies, such as atoms, trapped ions, photons, superconductors, carbon nanotubes, and topological networks, at a time when it remains difficult to predict which technology will ultimately prevail and become the industry standard.<\/p>\n
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Classiq\u2019s software runs on top of specialized processors designed for quantum computing, developed by Israeli firm Quantum Machines. Classiq\u2019s operating system serves as a platform for developing various software applications that have until now have been characteristic primarily of supercomputers. Much like Microsoft\u2019s Windows operating system, Classiq enables software developers to design, develop, and test software intended for quantum computers, and subsequently run it on these machines.<\/p>\n
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BMW, for instance, utilized the Classiq platform to develop simulation software for vehicle dynamics, modeling cars under scenarios where components are composed of different materials, with the aim of reducing the need for real-world physical testing. HSBC developed an application for fraud detection, while the Italian bank Intesa Sanpaolo launched an application for pricing options over shorter timeframes, allowing for greater profitability per transaction.<\/p>\n
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Classiq serves dozens of other commercial clients including Citibank, Deloitte, and Rolls Royce as well as over 600 academic clients in the fields of physics and quantum science, such as research laboratories at MIT and UCL. Since its founding more than six years ago, Classiq has established itself as the primary standard for quantum operating systems within national quantum initiatives and academic centers. This proved advantageous as hundreds of researchers transitioned from academia to the private sector, bringing the platform with them into the commercial sphere.<\/p>\n
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Classiq competes with IBM\u2019s quantum operating system, which has established IBM as a global leader in the quantum field, following the company\u2019s earlier losses to other giants in revolutions such as the PC, mobile phone, and AI. Although IBM launched its own quantum operating system, Qiskit, after the Israeli system had already gained traction in the academic community, it now poses stiff competition for customers seeking a safe brand. Classiq\u2019s most recent funding round was to support its marketing and sales efforts, as well as its expansion into new countries. Another rival to Classiq is Horizon Quantum Computing, which has raised $22 million.<\/p>\n
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According to the Registrar of Companies, the primary beneficiaries of the deal are venture capital firms Entr\u00e9e Capital, founded by Avi Eyal and Ran Achituv, which holds about a 15% stake in Classiq, yielding a return of $330 million, and Team8, which holds about a 8% stake. The investment by Team8 was led by Sarit Firon and is worth about $180 million for the fund. Phoenix Group is the third-largest shareholder, with a 7% stake worth over $150 million, a tenfold return on its original investment. Clal, which invested $5 million, stands to gain several tens of millions of dollars.<\/p>\n
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Founders Yehuda and Amir Naveh together hold 9% of Classiq\u2019s shares, while CEO Nir Minerbi holds about 3.5%. The company\u2019s employees hold options representing roughly 15%-20% of the total share capital and are likely to receive additional compensation following the acquisition.<\/p>\n
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This is the largest acquisition in the quantum computing sector, surpassing last year\u2019s acquisition of Oxford Ionics for about $1 billion to IonQ and the sale of Quantum Circuits to D-Wave for $550 million earlier this year.<\/p>\n
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Of the 17 quantum-related acquisitions recorded since 2022, nine were executed by IonQ; the Intel deal marks the first such acquisition by a major US tech giant. Other tech giants are currently in the quantum race but have yet to make acquisitions in this space. Most notably, Google and IBM are developing quantum chips based on superconductors. Nvidia has opted not to develop its own quantum computer. Instead, it markets an operating system called CUDA Quantum, which serves as a bridge for quantum simulations performed by its standard graphics processors, or as a gateway to quantum computers from other companies.<\/p>\n
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Published by Globes, Israel business news – en.globes.co.il – on October 26, 2026.<\/p>\n
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\u00a9 Copyright of Globes Publisher Itonut (1983) Ltd., 2026.<\/p>\n
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#Intel #buys #Israeli #quantum #computing #Classiq #2.2b<\/p>\n","protected":false},"excerpt":{"rendered":"
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