Apple Inc. has struck one of its largest deals ever, acquiring Israeli startup Q.ai for close to $2 billion, a move that catapults the iPhone maker deeper into advanced AI for human-device interaction. The acquisition, confirmed by Apple on January 29, 2026, brings aboard a team pioneering technology to decode speech from facial movements, potentially enabling silent commands to Siri via wearables like AirPods or smart glasses. Sources familiar with the matter pegged the valuation at nearly $2 billion, making it Apple’s second-biggest purchase after the $3 billion Beats deal in 2014, according to MacRumors.

Q.ai, founded in 2022 and operating in stealth mode from Ramat Gan, Israel, specializes in machine learning that interprets ‘facial skin micro movements’ to understand ‘silent speech.’ Patents linked to the firm describe systems using optical or laser projection on the face to detect minute muscle activity, allowing devices to grasp whispered or non-verbal cues in noisy environments. This fusion of audio AI and imaging could transform how users engage with Apple’s ecosystem, from enhancing AirPods translation features to powering interactions with the Vision Pro headset, as detailed in reports from Ynet News.

The founding team—Aviad Maizels (CEO), Yonatan Wexler (CTO), and Avi Barliya—will join Apple, marking a homecoming for Maizels, whose prior venture PrimeSense was snapped up by Apple in 2013 for about $350 million. That deal fueled the shift from Touch ID to Face ID. ‘Q.ai is a remarkable company that is pioneering new and creative ways to use imaging and machine learning,’ said Johny Srouji, Apple’s senior vice president of hardware technologies, in a statement shared by Reuters.

Stealth Origins and Investor Backing

Launched post-Maizels’ Apple stint, Q.ai raised $24.5 million in seed funding in January 2023 from heavyweights including Kleiner Perkins, Google’s Gradient Ventures (now GV), Aleph, Matter, Exor, and Corner Ventures. Investors hailed the team’s resilience; after the October 7, 2023, attacks in Israel, about 30% of staff were drafted into military service, yet progress continued amid bomb shelter interruptions, per a post from GV’s Tom Hulme on X (@thulme).

Spark Capital’s Nabeel Hyatt recounted Maizels’ cold email in 2022: ‘From the very first call it was obvious I had met a force of nature… These folks have really made magic,’ he posted on X (@nabeel). Financial Times correspondent Tim Bradshaw broke the news on X, calling it ‘sci fi tech that can understand what you’re saying just by sensing face movements’ and linking to his scoop (@tim).

While Apple disclosed no terms, estimates vary: Calcalistech pegged it at $1.5 billion (Ctech), aligning with the high-end stealth exits in Israel’s vibrant tech scene. Maizels enthused, ‘Joining Apple opens extraordinary possibilities for pushing boundaries and realizing the full potential of what we’ve created,’ quoted in Reuters.

Tech Breakdown: From Whispers to Silent Commands

Q.ai’s core innovation blends physics-based sensing with AI to capture ‘whisper-like speech’ and boost audio in tough settings, but patents reveal the star: non-verbal decoding via facial micromovements. This could enable ‘non-verbal discussions’ with AI assistants, fitting Apple’s push into on-device AI amid Apple Intelligence rollouts. Imagine mouthing queries to Siri in meetings or libraries without a sound, integrated into headphones or AR glasses.

The tech dovetails with recent AirPods upgrades for real-time translation and noise suppression. Srouji noted it pioneers ‘imaging and machine learning,’ hinting at synergies with Apple’s silicon prowess, where he oversees A-series and M-series chips. Wexler, ex-OrCam, brings expertise in assistive vision tech, while Barliya’s AI research bolsters the stack, per Calcalistech.

For Apple, this shores up defenses in the AI arms race. Rivals like Meta Platforms and Google chase similar multimodal interfaces—think neural wristbands or earbuds reading biosignals. Q.ai’s optical approach sidesteps invasiveness, leveraging cameras already in iPhones and wearables.

Strategic Fit in Apple’s AI Arsenal

This buy follows Apple’s multi-year pact with Alphabet for Gemini models to revamp Siri, announced earlier in January 2026. Q.ai fills a sensing gap, enabling more intuitive inputs beyond voice. ‘At Apple, we focus on developing the most innovative technologies to create the world’s best products,’ Srouji added in Ynet News, underscoring hardware-software fusion.

Industry watchers see it accelerating ‘spatial computing’ ambitions. Vision Pro’s eye-tracking and hand gestures could pair with facial speech for hands-free, silent control. Maizels’ PrimeSense roots ensure seamless integration; that tech underpinned TrueDepth cameras for Face ID. GV’s Hulme praised the ‘intersection of AI and physics’ with ‘potential to transform communication.’

Valuation reflects premium for talent and IP in a market where AI startups fetch billions—OpenAI’s valuation hit $157 billion recently. Apple’s 100+ acquisitions since 2017, mostly under $1 billion, make this outlier signal conviction in embodied AI for consumer devices.

Israeli Tech’s Apple Affinity

Israel’s ‘Startup Nation’ has been an Apple hunting ground; over 50 exits to the firm, including Anobit and LaserLike. Maizels’ double-dip highlights the pipeline. Post-October 7 resilience amplified investor awe—Hulme noted the team ‘slowed them down less than I could have imagined and not once did they complain.’

Broader M&A wave: 2026 lists dozens of Israeli deals, per Calcalistech trackers. Q.ai’s stealth preserved edge until now. As the team embeds in Cupertino, expect prototypes blending this with Apple Intelligence at WWDC 2026 or beyond.

Risks linger—privacy scrutiny on facial data, regulatory hurdles in EU AI Act—but Apple’s fortress balance sheet ($162 billion cash) and on-device focus mitigate. Hulme linked GV’s announcement: innovations ‘will have the opportunity to reach global audiences.’

Investor Echoes and Road Ahead

Venture cheers flooded X: Rich Miner, Android co-founder and GV partner, posted ‘Huge congrats to Aviad, Yonathan and the team.’ Hyatt lamented stealth: ‘oh how I wish this wasn’t in stealth so you all could see… the magic is sure to hit us all soon enough.’

For insiders, this underscores betting on founders over flashy demos. Q.ai’s physics-AI hybrid evades LLM hype, targeting hardware bottlenecks. Apple’s pattern—acquire, assimilate, unveil—promises subtle Siri upgrades first, then ecosystem leaps.

The deal cements Apple’s AI hardware moat as competitors scramble. Silent speech isn’t sci-fi anymore; it’s inbound for iPhone users, redefining privacy-preserving interaction in an always-listening world.