Intel Spinoff RealSense Sells for $600 Million, Rewarding Employees

Robotics company RealSense, which was spun off from Intel just 14 months ago, has been acquired by U.S.-based Cognex for $600 million in cash and stock. Cognex, a Nasdaq-listed company valued at $10 billion, will pay $500 million in cash and $106 million in stock, cash, and options for RealSense employees. The company employs 180 people, with 135 based in its Haifa, Israel offices.

RealSense CEO Nadav Orbach stated that most Israeli employees will receive at least one million shekels (approximately $270,000) from the deal, with many receiving higher amounts. Orbach highlighted the team's achievement in transforming technological excellence into rapid growth and a successful acquisition within just over a year of independence, emphasizing the importance of their contribution being reflected in the deal's outcome.

RealSense develops depth cameras and computer vision technologies that enable robots and autonomous systems to perceive and understand their environment in 3D, identify objects, estimate distances, navigate, and operate safely. Its technology is integrated into autonomous mobile robots, robotic arms, humanoid robots, industrial automation systems, and applications in logistics, healthcare, and security, serving over 4,500 customers globally.

The company originated as a small research unit within Intel over a decade ago. Despite Intel's attempts to enter the 3D camera market, the division was spun out in July 2025 as part of an organizational restructuring. After becoming independent, RealSense raised $50 million and has since expanded its operations, significantly increased its workforce, and tripled its revenue. The company projects revenues of $80-90 million in 2026, with profitability achieved in the last two quarters.

Orbach mentioned that Intel had considered shutting down the operation, but he convinced then-CEO Pat Gelsinger to allow him to take it independent. He noted that while Intel might regret the decision, remaining independent allowed RealSense to innovate in marketing and sales, including a partnership with Nvidia that wouldn't have been possible within Intel. Intel retains a 20% stake in RealSense and will benefit from the acquisition.

Cognex, which has approximately 3,000 employees and annual sales of $1 billion, plans to use RealSense to significantly advance into the robotics market. This is Cognex's largest acquisition to date and its first in Israel. The deal is expected to close in the fourth quarter of this year, after which RealSense employees will continue with the company, and its Israeli operations will become Cognex's development hub. A separate RealSense division developing advanced biometric facial recognition technology is not included in the acquisition and will be spun off into its own company.