The AI battle is intensifying and tech companies like Apple, Meta, and Google are racing to lead the next wave of market disruption. Apple has now made a notable move, reportedly acquiring Israel-based audio AI startup Q.ai.
According to the Financial Times, the deal is valued at $2 billion, although Apple has not officially confirmed the terms. If the deal value is correct, this would mark Apple’s second-largest acquisition to date, following its $3 billion purchase of Beats in 2014.
Apple has not disclosed how it plans to integrate Q.ai’s technology, but the startup’s work suggests a push toward AI-powered wearables. In an official statement, Apple’s Senior Vice President of Hardware Technologies, Johny Srouji said, “Q.ai is a remarkable company that is pioneering new and creative ways to use imaging and machine learning.”
Patents filed by Q.ai point to potential use in headphones or smart glasses. The technology would rely on subtle facial skin micro-movements, enabling users to interact with devices without speaking, the Financial Times reported.
Founded in 2022, Q.ai is backed by Kleiner Perkins, Gradient Ventures, and others. As part of the acquisition, the company’s founding team, including CEO Aviad Maizels, will join Apple. This acquisition marks the second time Maizels has sold a company to Apple. In 2013, he sold PrimeSense, a 3D-sensing startup that played a key role in Apple’s transition from fingerprint sensors to facial recognition on iPhones.
This deal could allow Apple to strengthen its in-house AI capabilities, potentially reducing its dependence on external partners such as Google for powering artificial intelligence features within Siri.
Insiders from the industry have long speculated that acquisitions could be Apple’s fastest path to closing the AI gap with rivals. During Apple’s Q3 2025 earnings call, CEO Tim Cook acknowledged this approach, stating, “We’re open to M&A that accelerates our roadmap.”
