Intel is acquiring Israeli quantum computing software developer Classiq in a deal valued at $2.3 billion in cash and stock, marking the largest acquisition in the history of the global quantum computing industry, Calcalist reported.
The transaction represents a significant milestone for Israel's emerging quantum technology sector and exceeds the previous industry record of $1 billion, established last year when IonQ acquired Oxford Ionics.
For Intel, the purchase is among its largest acquisitions of an Israeli technology company in recent years. The American chipmaker previously acquired Israeli mobility technology company Moovit for approximately $1 billion in 2020 and Habana Labs for $2 billion in 2019.
Intel subsequently purchased other Israeli businesses, including Granulate in 2022, although those transactions were valued in the hundreds of millions of dollars. Classiq would be its first acquisition of an Israeli company since the Granulate deal.
While multibillion-dollar acquisitions have become familiar in Israel's cybersecurity industry, a transaction of this magnitude remains unusual in quantum computing, a sector still struggling to translate its technological potential into widespread commercial applications.
Only 117 quantum computers currently exist worldwide, according to the report, and their high costs and limited accessibility continue to restrict adoption.
Although quantum research has produced important advances over the past two years, the technology has yet to experience a breakthrough comparable to the emergence of ChatGPT, which helped bring artificial intelligence into mainstream use.
Israel nevertheless ranks among the five leading countries in quantum computing, measured by the number of companies active in the industry and the amount of private capital invested.
Founded six years ago, Classiq has grown into a company employing approximately 150 people.
Its three founders are CEO Nir Minerbi, Chief Product Officer Amir Naveh, and Chief Technology Officer Prof. Yehuda Naveh, Amir's father.
Minerbi and Amir Naveh are graduates of the IDF's prestigious Talpiot program, which has also produced many of Classiq's employees. Prof. Naveh previously held a senior position at IBM's development center in Israel.
Each founder is expected to receive between $80 million and $100 million from the acquisition.
Intel has also earmarked more than $100 million in retention grants intended to encourage employees to remain with the business following the acquisition.
Classiq specializes in software designed to simplify the development and operation of quantum computing applications.
Its technology serves as an interface between highly complex quantum hardware and the businesses, researchers, and developers seeking to use it.
The company's long-term ambition is to establish its software as the equivalent of Microsoft's Windows operating system for quantum computers.
Unlike software designed for a particular quantum computer manufacturer, Classiq's platform is hardware-agnostic, allowing applications to operate across different quantum computing systems.
This flexibility has positioned the Israeli company as a competitor to IBM, one of the industry's pioneers.
Classiq's customer base includes major corporations in banking, automotive manufacturing, pharmaceuticals, and professional services. Among its customers are BMW, Rolls-Royce, HSBC, Deloitte, Toshiba, and Citi.
The startup has raised approximately $200 million since its establishment, including $110 million in a funding round completed in 2025.