Intel has agreed to acquire the Israeli startup Classiq Technologies Ltd. to enter the quantum computing sector and capitalize on growth opportunities in this still-early-stage field as it seeks commercial applications.
The chip manufacturer did not disclose the acquisition amount for Classiq. Classiq’s customers include BMW AG and AT&T Inc. Intel’s announcement of its acquisition of Classiq to build a full-stack quantum computing platform was made just before Intel released its third-quarter earnings report on Thursday.
Classiq’s customers use its technology to develop code that can be tested and run on any type of quantum hardware, enabling them to evaluate whether this transformative technology can be integrated into their businesses. This acquisition will strengthen Intel’s research and development capabilities in quantum hardware and make Intel’s products easier to deploy on quantum computers.
Intel CEO Lip-Bu Tan stated in a statement: "Partnering with Classiq will transform Intel's quantum computing division into a full-stack quantum computing business." The two companies expect the transaction to close in the first half of 2027.
Intel was once the world's largest chip manufacturer and did not want to miss out on the semiconductor industry's vast potential emerging market. Under Chen Liwu's leadership, Intel has stabilized its strained financial situation and is now striving to reclaim market share in the AI computing arena that competitors have taken.
Classiq provides customers with proprietary AI tools to help businesses validate the practical value of quantum technology in their operations. The company has raised over $200 million in funding and employs approximately 130 people; even after acquisition, it will continue to help clients develop code that runs on various quantum hardware platforms, including those from Intel’s competitors.
Quantum computing accelerates data processing by manipulating subatomic particles. Although the industry is still in its early stages, many major tech companies are interested in it, aiming to build competitive advantages beyond traditional computing. However, quantum hardware is highly complex and difficult to deploy at scale.
For over a decade, Intel has sought to leverage its expertise in silicon-based component manufacturing to enter the quantum computing field. Consistent with the views of other industry players, Intel believes quantum components will work alongside traditional computers rather than fully replace them. Intel is currently focusing on spin qubit technology.
Nir Minerbi, CEO of Classiq, who co-founded the startup in 2020, said: “This transformation is about moving from scientific research to engineering execution. When it comes to engineering, everyone thinks of Intel.”