Intel Acquires Israeli Quantum Computing Firm Classiq for $2.3 Billion
Translated & summarized from Arutz Sheva by baba
Intel has acquired Israeli quantum computing startup Classiq for $2.3 billion, marking the largest deal in the quantum computing sector's history. The Tel Aviv-based company will become Intel's global quantum development hub. The acquisition is expected to significantly benefit Classiq's founders, 150 employees, and Israeli investors, with Intel also providing retention bonuses. The deal solidifies Israel's role in Intel's future quantum technology initiatives.
The story in 6 lines · by baba
- Intel acquired Israeli quantum computing firm Classiq for $2.3 billion, the largest deal in the sector's history.
- Classiq's technology is compared to Windows but for quantum computers, used by major global firms.
- Classiq's three founders and 150 employees are set to receive tens of millions and hundreds of millions respectively.
- Israeli investors like Entree Capital and Team8 are expected to gain hundreds of millions from the acquisition.
- Classiq's Tel Aviv operations will become Intel's global quantum development center.
- Intel CEO Li Bo Tan had previously invested in Classiq personally.
Tech giant Intel has acquired Israeli quantum computing startup Classiq for $2.3 billion, a deal hailed as the largest in the history of quantum computing globally. The acquisition marks Intel's entry into the quantum operating systems sector, with Classiq's Tel Aviv-based operations set to become Intel's global quantum development center.
Classiq, founded in 2020, developed a system that enables the design and execution of complex algorithms on quantum computers, creating an interface between advanced hardware and users. This technology is compared to Microsoft's Windows operating system but for the quantum computing realm, with IBM's Qiskit system being a key competitor. Leading organizations such as BMW, HSBC, Citibank, Rolls-Royce, and Deloitte, along with academic institutions, already utilize Classiq's technology.
The acquisition is expected to yield significant financial returns for Classiq's stakeholders. The company's three founders, CEO Nir Minervi, VP of Product Amir Naveh, and CTO Prof. Yehuda Naveh, are each set to receive tens of millions of dollars. The 150 employees, who collectively hold about 10% of Classiq's shares valued at approximately $230 million, will also benefit. Intel has also allocated over $100 million in retention bonuses for key employees.
Israeli investors are also poised for substantial gains. Entree Capital, which led Classiq's funding rounds and holds about 15% of its shares, is expected to receive over $300 million. Team8 is anticipated to gain more than $180 million, and The Phoenix group, holding approximately 7.5% of the company, is projected to receive over $150 million.
Notably, Intel CEO Li Bo Tan had personally invested in Classiq before assuming his current role, making him a key figure behind this landmark quantum computing transaction. Lawyers Barak Platt, Josh Hauser, and Ophir Levi from the firm Arnon, Tadmor-Levi advised Intel on the deal. The acquisition positions Israel at the forefront of Intel's quantum development plans.
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