Shifting to physical AI, Cognex to acquire Intel spinoff RealSense in $500 million deal

RealSense, an Israeli company that develops AI vision technology for robots, has signed an agreement with Cognex Corporation, a US machine vision company.

The $500 million transaction marks one of the most significant strategic moves in Cognex’s recent history and will be financed entirely from Cognex’s existing cash reserves and is expected to close in the fourth quarter of 2026, pending regulatory approval. Cognex will also grant a $50m.stock option and incentive plan.

RealSense was originally founded by Intel in 2014 as its internal innovation division and was spun out as an independent company in 2025 when Intel was looking at major cuts. In August 2025, it signed a deal with Nvidia to integrate its advanced perception technology with Nvidia’s Jetson Thor robotic platform and has since become a key supplier of perception systems for autonomous mobile robots, industrial robotic arms, quadrupeds and emerging humanoid platforms. 

The company employs 180 people in Israel, with 135 based in its development center in Haifa and the rest in Cupertino, California. Approximately 80 of those Israeli employees are expected to receive at least NIS 1m.each.

"RealSense was built on a simple idea: robots and autonomous systems can’t act intelligently in the physical world if they can’t first perceive it accurately. We’ve called that mission the Visual Cortex of Physical AI. Joining Cognex puts that mission on an entirely new scale, giving us access to a global industrial customer base and go-to-market reach that would have taken us years to build on our own. This is a combination that makes both businesses stronger," said Nadav Orbach, Chief Executive Officer of RealSense.

Prior to the completion of the deal, RealSense will spin out its Facial Authentication product line into an independent company, and will continue to focus on growth in the biometrics market.

With the acquisition, the company is expected to generate between $80m.and $90 m. in revenue in 2026, representing more than 50% growth over the previous year. The broader robotic perception market, currently valued at roughly $600m., is projected to grow more than 25% annually and reach approximately $1.6 billion by 2030.

Cognex, headquartered near Boston and operating in more than 30 countries serving over 30,000 customers worldwide, develops machine-vision systems that help manufacturers and distribution companies automate tasks such as inspection, measurement, identification, and robotic guidance.

The acquisition of RealSense is the company’s first purchase in Israel and expands the company into robotic perception and the emerging Physical AI market. 

Physical AI refers to artificial intelligence systems that operate in the real world rather than in purely digital environments. These systems must perceive depth, motion, obstacles, and human behavior in real time, and then act on that information safely and intelligently. That requires a sophisticated blend of sensors, cameras, spatial understanding, and real-time processing- that’s the foundation for robots that can navigate crowded warehouses, drones to avoid obstacles, and humanoid robots that interact with people.

RealSense’s depth‑sensing cameras and perception software form the foundation of this capability, giving machines the ability to see and understand their environment with accuracy and reliability.

Cognex President and CEO Matt Moschner described the acquisition as a natural evolution for a company that has spent more than four decades building machine‑vision systems for factories, warehouses and distribution centers around the world.

“RealSense represents a compelling strategic expansion for Cognex into robotic perception, one of the most attractive adjacent markets in machine vision,” he said. “RealSense brings a leading 3D perception platform with proprietary technology, a strong developer community, and a compelling value proposition for customers. Combined with Cognex’s machine vision expertise and global reach, RealSense positions us to offer a full-stack visual intelligence platform, spanning industrial ID, 2D and 3D machine vision measurement to 3D depth perception and robotic navigation, built to serve the full spectrum of Physical AI.”

The rise of Physical AI is reshaping global industries from logistics and manufacturing to defense, healthcare, and consumer robotics. Robots are increasingly expected to operate in dynamic, unpredictable environments rather than fixed, pre‑programmed settings.