Here's Why Apple Paid $50 Million for an AI Video Startup

Apple (NASDAQ: AAPL) has acquired Vilynx, a company focused on using computer vision and artificial intelligence to analyze a video's audio, visual, and related text elements to understand the content, according to a report by Bloomberg. The system then uses the technology to create smart tags, thereby making the video searchable. Apple provided a boilerplate statement about the acquisition, saying, "Apple buys smaller technology companies from time to time and we generally do not discuss our purpose or plans," the company said.