Intel Bets $2.3 Billion on Quantum Software With Classiq Deal

Intel Bets $2.3 Billion on Quantum Software With Classiq Deal

A definitive deal at a record price

Intel has signed a definitive agreement to acquire Classiq, the Tel Aviv-based quantum computing software company, in a cash-and-stock transaction valued at roughly $2.3 billion. It is the largest acquisition in the history of the quantum computing industry, more than doubling the previous record set when IonQ bought Oxford Ionics for $1 billion. Intel announced the agreement on October 26; it did not disclose the price itself, with the figure reported by Bloomberg.

Tan promises a full-stack quantum business

"Joining forces with Classiq transforms Intel's Quantum Computing Group into a full-stack quantum computing business," Intel chief executive Lip-Bu Tan said. Classiq co-founder and chief executive Nir Minerbi said that together the two companies could help unlock the benefits of quantum computing and accelerate its adoption sooner. The transaction needs regulatory approvals and is expected to close in the first half of 2027, with the two companies operating separately until then.

Software meets silicon manufacturing

Classiq, founded in 2020 by Nir Minerbi with Amir Naveh and his father Yehuda Naveh, built what it calls an operating system for quantum computers: software that automates the synthesis of quantum algorithms so engineers can design programs without being tied to one kind of processor. Intel brings silicon spin-qubit research, 300mm manufacturing know-how and cryogenic control electronics, plus its own quantum software. The combination is meant to turn Intel into a full-stack provider alongside its CPUs, GPUs and custom chips.

Founders set for up to $100 million each

Classiq holds about $100 million in cash, which effectively brings the net cost down to about $2.2 billion. Each of the three founders is expected to receive between $80 million and $100 million, and Intel has earmarked more than $100 million in retention grants. Employees hold roughly 10 percent of the shares. The largest outside holder, Entree Capital, owns about 15 percent, worth around $330 million at the deal price. The deal price is more than triple Classiq's 2025 private valuation of roughly $600 million to $700 million.

Big-name customers, still modest revenue

Classiq employs roughly 130 to 140 people, joining an Intel quantum team of about 70, roughly tripling its size. The startup has raised more than $200 million, including a $110 million Series C in May 2025. Its customers include BMW, Rolls-Royce, HSBC and Citi, as well as Deloitte and Toshiba, with partners including NVIDIA, Microsoft and AWS — though annual revenue remains below $100 million. In an unusual twist, Tan had personally invested in Classiq before becoming Intel's chief executive, and sources say he recused himself from the acquisition talks.