Chip giant makes a move in the quantum track: Intel (INTC.US) acquires startup Classiq to build a full-stack quantum business

Zhitong Finance APP has learned that Intel (INTC.US) has agreed to acquire Israeli startup Classiq Technologies Ltd. as part of its strategy to expand into quantum computing. Quantum computing is a nascent field that is seeking commercial applications.

The chipmaker did not disclose the price of the Classiq acquisition. Classiq’s customers include BMW and AT&T (T.US). The announcement came just before Intel was scheduled to release its third-quarter earnings report on Thursday.

Classiq’s clients use its technology to write code that can be tested and run on any type of quantum hardware, allowing them to explore whether this potentially revolutionary technology can benefit their business operations. The acquisition will strengthen Intel's quantum hardware R&D capabilities and make its products easier to deploy in quantum computers.

Intel CEO Pat Gelsinger said in a statement: “Teaming up with Classiq will transform Intel’s quantum computing department into a full-stack quantum computing enterprise.” The two companies expect the deal to be completed in the first half of 2027.

Intel, which was once the world’s largest chip manufacturer, now hopes to ensure it doesn't miss out on a promising new market in the semiconductor industry. Under the leadership of Pat Gelsinger, Intel has stabilized its strained financial position and is now seeking to regain ground lost to competitors in the field of artificial intelligence computing.

Classiq provides its customers with specially developed AI tools to help them test the practicality of quantum technology for their businesses. The company has raised more than $200 million in total funding and has about 130 employees. After the acquisition, the company will continue to help clients develop code that can run on multiple types of quantum hardware—even if that hardware comes from Intel’s competitors.

Quantum computing relies on manipulating subatomic particles to accelerate data processing. Although still an emerging industry, the field has already attracted the attention of major tech companies, which hope to gain advantages over traditional computers’ processing capabilities. However, the enormous complexity of quantum hardware makes large-scale deployment difficult.

For over a decade, Intel has been working to translate its advantages in silicon-based component manufacturing into a strong position in quantum computing. Like other companies, Intel believes that quantum components will work in tandem with conventional computers rather than fully replacing them. The company focuses on a technology called spin qubits.

Classiq CEO Nir Minerbi said: “At the heart of this revolution is the transition from science to engineering. When you think of engineering, you think of Intel.” He co-founded the startup in 2020.