Rail Vision Acquiring 51% of Quantum Transportation: Gaining majority control via a 4.99% share swap for quantum-AI rail synergy.
Quantum Transportation Delivers Leading IP: Exclusive sub-license to Tel Aviv University’s ML-powered quantum error decoder for scalable rail applications.
$700K Convertible Loan Fuels Growth: Rail Vision funds Quantum’s roadmap with 8% interest loan, convertible into senior shares.ing
Ra’anana Israel’s Rail Vision Ltd., a leader in AI-driven railway safety technologies, announced December 1, 2025, a definitive agreement to acquire 51% ownership of Quantum Transportation Ltd., a quantum computing and AI innovator specializing in error correction, expected to close in late 2025 or early 2026.
The acquisition combines Quantum Transportation’s leading quantum error-correction intellectual property (IP) with Rail Vision’s advanced railway vision systems. The technology enables real-time anomaly detection and predictive maintenance with substantial reduction in computational overhead for fault-tolerant quantum applications in rail networks.
Quantum Transportation’s core innovation is a machine-learning-driven universal decoder — a lightweight, code-agnostic algorithm that performs real-time error correction for surface-code-based quantum computers. The decoder dramatically reduces the classical computing power normally required to keep fragile qubits stable.
By embedding this decoder directly into Rail Vision’s existing edge-AI sensor platforms (the compact, onboard computers already mounted on locomotives and wayside units), the system gains a quantum-inspired “noise-filtering brain” that can be applied to classical sensor data streams.
In practice, the decoder originally designed to clean qubit errors now continuously refines noisy vision, lidar, and acoustic data in real time. The benefits are numerou: eliminating false positives, spotting sub-millimeter track cracks or early bearing wear, and delivering highly accurate insights. All this without the high-overhead needed to send terabytes of raw data to the cloud for post-processing.
By utilizing this IP for transportation applications, including railway, Rail Vision aims to unlock new capabilities in anomaly detection, predictive maintenance, and autonomous rail operations, capitalizing on the growing quantum computing market projected to drive exponential advancements in transportation.
In practice, the decoder originally designed to clean qubit errors now continuously refines noisy vision, lidar, and acoustic data in real time. The benefits are numerou: eliminating false positives, spotting sub-millimeter track cracks or early bearing wear, and delivering highly accurate insights. All this without the high-overhead needed to send terabytes of raw data to the cloud for post-processing.
At the same time, the quantum decoder’s ability to handle surface-code errors in real time cuts the classical computing resources typically needed for fault tolerance by orders of magnitude. Doing so makes running scalable quantum-enhanced analytics on board trains or at wayside stations feasible in lieu of distant data centers.
The result is a step-change in railway reliability: predictive maintenance accuracy moving from today’s roughly 85–90% to 99% or more. This provides a clear pathway toward fully autonomous train operations without human oversight.
Low dilution lets Rail Vision acquire quantum technology while barely shrinking existing shareholders’ ownership. It issues only 4.99% of its shares — just under Nasdaq’s 5% threshold — to gain 51% control of Quantum Transportation. The $700,000 convertible loan at 8% interest adds flexibility: Rail Vision can earn interest, recover capital, or convert at a capped valuation on better future terms.
The deal is capital-efficient. It delivers staged funding, full strategic control, and quantum IP slotting directly into existing revenue products. The move positions Rail Vision at the rail-digitization and quantum-optimization intersection, opening doors to new contracts, grants, and partnerships.
Rail Vision is no longer just a railway vision-AI company. It now controls quantum IP built for transportation. The acquisition future-proofs its platform at minimal cost and dilution. As rail operators demand zero accidents, lower costs, and autonomy, Rail Vision’s quantum-ready tech could set the new industry standard and drive strong long-term shareholder value.