A major competition is unfolding among Apple, Meta, and Google to dominate the emerging AI landscape, with each company placing greater emphasis on hardware development. In a strategic move to strengthen its position, Apple has acquired the AI startup Q. AI, aiming to secure an advantage, especially within audio technology.

According to initial reports, Apple has purchased Q. AI, an Israeli startup focused on imaging and machine learning. The company specializes in technologies that allow devices to understand whispered speech and improve audio clarity in loud settings. Apple has been integrating new AI capabilities into its AirPods, such as the live translation feature launched last year. Additionally, the company has created technology that senses minor facial muscle movements, which could be used to advance the Vision Pro headset.

The Financial Times indicated the deal is worth close to $2 billion, marking it as Apple's second-largest acquisition ever, following the $3 billion purchase of Beats Electronics in 2014.

This sale represents the second time CEO Aviad Maizels has sold a company to Apple. He previously sold PrimeSense in 2013, a 3D-sensing firm that was instrumental in Apple's shift from fingerprint sensors to facial recognition technology in iPhones.

Founded in 2022, Q. AI has received backing from investors including Kleiner Perkins and Gradient Ventures. As part of the acquisition, the founding team—comprising Maizels and co-founders Yonatan Wexler and Avi Barliya—will join Apple.

This announcement arrives just hours before Apple's first quarterly earnings report, where analysts project revenue of approximately $138 billion. This period is also anticipated to show the company's most robust iPhone sales growth in four years.