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June 4, 2026 Weekly insights on Israeli tech, venture capital, and AI
3dv systems

Remember 3DV Systems? It’s about to get snatched by Microsoft

Haaretz was the first source to report that Microsoft is about to put the first Israeli exit in 2009 on the map.  According to the report, Microsoft is in talks to acquire 3DV Systems for $35 million. The Israeli start up has reportedly raised $38.6 million to date, which means that shareholders will be losing some money on this deal including: Elron, Pitango and Kleiner Perkins Caufield & Byers, and RDC Rafael Development Corporation. 

3DV Systems has developed the Z-Cam (formerly Z-Sense), a sensor-packed  camera, which lets gamers control the game through body gestures alone, eliminating the need for any kind of joystick. Microsoft is hoping to gain an edge on Nintendo Wii, by integrating 3DV’s technology into the Xbox 360. 

Other applications to the Z-Cam include video conferencing technology, but its unclear what Microsoft is planning on leveraging that front.

 

The Z-Cam
The Z-Cam
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Co Founder and Managing Partner at Remagine Ventures
Eze Vidra is the founder of VC Cafe and the co-founder and managing partner of Remagine Ventures, a pre-seed fund investing in ambitious founders at the intersection of AI, technology, entertainment, gaming, and commerce with a spotlight on Israel.

He is a former General Partner at Google Ventures (GV) in Europe, former head of Google for Entrepreneurs in Europe, and founding head of Campus London, Google's first startup hub. Eze writes on Israeli tech, venture capital, artificial intelligence, and founder strategy.

He is also the founder of Techbikers, a nonprofit that brings together the startup ecosystem on cycling challenges in support of Room to Read.
Eze Vidra
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Eze Vidra
About the Author

Eze Vidra

Eze Vidra is the founder of VC Cafe and Managing Partner at Remagine Ventures. He has written about Israeli tech, venture capital, AI, and startup building since 2005.

  • Founder of VC Cafe
  • Managing Partner at Remagine Ventures
  • Two decades covering Israeli tech and global venture trends
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