The Australian Giant Cuttlefish has many adaptations that help it survive.  One of these is its ability of camouflage to hide from predators.  Chromatophores (pigments in the skin), papillae (which add texture) and leucophores are used in conjunction with each other in order to create extremely elaborate effects.  The camouflage coordinates with the surrounding, as observed by pupils whose parameters allow it intensive planar focusing as well as senses in the body that allow the cuttlefish to register how much light is being absorbed in order to give off a similar light.  The skin of the cuttlefish has three layers of pigmented skin cells that possess yellow, red, and brown colors.  These cells are in sacs which can be stretched with muscles in order to show more or less of each color.  Under that is an iridescent layer of reflecting cells, iridophores, with blue, green, red, and pink.  Leucophores produce the white color.  They may change their color and pattern to hide in the reefs and rocks from predators.  The skin has papillae which allow a rigid appearance, representative of coral  (Zylinski et al, 2011).
    To see this in action, check out this video! As the divers follow the cuttlefish, you can see it change color and texture to look more like the seagrasses and ocean floor that it is passing through.

          Source: Thierry Rakotoarivelo 

Another adaptation that the Sepia apama has is the ability to move their eye further from or closer to the retina. They have muscles which contract and expand the tissue around the pupil, similar to the action of the pigments in the skin (Marshall et al, 1996).  This feature of the eye gives the ability to see prey and predator alike at varying distances, not to mention the environment with which it will at some point blend with.  The eye has direct nerve control, as soon as information comes from the eyes to the brain, the brain sends signals directly to the skin in order for the skin to change colors to correlate with the cuttlefish’s surrounding.  This happens instantaneously.      
            When stalking prey, the cuttlefish will use its advanced camoflauge to sneak up close,  If the prey isn’t fooled by the camouflage and is alarmed to the presence of a cuttlefish, the cuttlefish will stop trying to blend with the environment and will flash colors in order to daze the prey.  They literally look like a strobe light.  They will also use the ability of jet propulsion to give it extreme bursts of speed in the water.  In order to escape predators, the cuttlefish can also spray ink in the predators face.    
            The Sepia apama has eight arms and two tentacles.  The arms have suckers all along their length while the tentacles only have suckers at the tips.  The tentacles are generally hidden and are used to snag prey, which is lured by the arms.  The arms are used to make the cuttlefish appear larger than life when necessary, such as when a potential predator is lurking (Encyclopedia of Life, 2013).

            Source: Thierry Rakotoarivelo

Check out how they reproduce!