Brief
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Apple, Meta, and Google are engaged in a fierce battle to lead the next wave of AI, and they have recently placed more emphasis on hardware. With its latest acquisition of AI startup Q.ai, Apple aims to get a head start, particularly in the audio sector.
As first reported ReutersApple acquired Q.ai, an Israeli startup specializing in imaging and machine learning, particularly technologies that allow devices to interpret whispered speech and improve audio in noisy environments. Apple has added new AI features to its AirPods, including the live translation capability introduced last year.
The company has also developed technology that detects subtle activity in facial muscles, which could help the tech giant improve the Vision Pro headset.
The Financial Times reported that the deal is valued at nearly $2 billion, making it Apple’s second-largest acquisition to date, after Apple. Electronic Beats for 3 billion dollars in 2014.
Notably, this is the second time that CEO Aviad Maizels has sold a company to Apple. In 2013, he sold PrimeSensea 3D sensing company that played a key role in Apple’s transition from fingerprint sensors to facial recognition on iPhones.
Q.ai launched in 2022 and is backed by Kleiner Perkins, Gradient Ventures and others. Its founding team, including Maizels and co-founders Yonatan Wexler and Avi Barliya, will join Apple as part of the acquisition.
The news comes a few hours before Apple’s first quarterly results, during which analysts estimate their revenues at around $138 billion. It was also the company’s strongest iPhone sales growth in four years.
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