Apple Just Made Its Second-Biggest Acquisition Ever After Beats

Apple today confirmed to Reuters that it has acquired Q.ai, an Israeli startup that is working on artificial intelligence technology for audio.

Apple paid close to $2 billion for Q.ai, according to sources cited by the Financial Times. That would make this Apple's second-biggest acquisition ever, after it paid $3 billion for the popular headphone and audio brand Beats in 2014.

Q.ai has developed technology that can "analyze facial expressions" to understand "silent speech," according to the Financial Times.

"Patents filed by Q.Ai show its technology being used in headphones or glasses, using 'facial skin micro movements' to communicate without talking," the report said, adding that this could pave the way for "non-verbal discussions" with Siri.

Q.ai CEO Aviad Maizels previously founded another Israeli startup, PrimeSense, which was also acquired by Apple in 2013. Apple used PrimeSense's technology to develop Face ID, which debuted on the iPhone X in 2017.

Q.ai's founding team will join Apple, including Maizels, Yonatan Wexler, and Avi Barliya.

Apple's chipmaking chief Johny Srouji described Q.ai as "a remarkable company that is pioneering new and creative ways to use imaging and machine learning," in a statement shared with Reuters. "We're thrilled to acquire the company, with Aviad at the helm, and are even more excited for what's to come."

This acquisition comes as Apple's former design chief Jony Ive has been working with OpenAI on a new AI device, and as other companies like Meta have released AI-powered devices such as the Meta Ray-Ban glasses with an in-lens display.

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