Thanks for visiting Imaging and Machine Vision Europe.

You're trying to access an editorial feature that is only available to logged in, registered users of Imaging and Machine Vision Europe. Registering is completely free, so why not sign up with us?

By registering, as well as being able to browse all content on the site without further interruption, you'll also have the option to receive our magazine (multiple times a year) and our email newsletters.

Intel to buy autonomous driving firm Mobileye for $15.3bn

Share this on social media:

Intel has announced it will purchase autonomous vehicle firm Mobileye for $15.3 billion. The acquisition will position Intel as a leading technology provider in the autonomous vehicle market.

Israeli company Mobileye supplies technology that supports the three pillars of autonomous driving – sensing, mapping, and driving policy. Intel estimates the vehicle systems, data and services market opportunity to be up to $70 billion by 2030. 

Mobileye has partnerships with more than 25 car manufacturers, including BMW, Audi, Ford, General Motors, Nissan, Tesla, and Volvo. It supplies vision-based advanced driver assistance systems (ADAS) for pedestrian collision warning, lane departure warning, and speed limit indication, among other functionality.

Intel has bought Mobileye, however, looking to the future and moving from driver assistance to fully autonomous driving. The two companies are already working on a project with BMW to develop self-driving systems, as well as with automotive supplier Delphi, giving timescales of around the end of the decade for autonomous driving systems.

Under the terms of the acquisition, a subsidiary of Intel will commence a tender offer to acquire all of the issued and outstanding ordinary shares of Mobileye for $63.54 per share in cash, representing a fully diluted equity value of approximately $15.3 billion and an enterprise value of $14.7 billion.

Intel's CEO, Brian Krzanich, in an open letter to Intel's employees, commented: 'Many of you have asked why we think autonomous cars and vehicles are so important to Intel’s future. The answer is data.' Intel expects that by 2020, autonomous vehicles will generate 4,000 GB of data per day, which plays to Intel’s strengths in high-performance computing and network connectivity.

Mobileye’s vision safety technology for ADAS is deployed on more than 15 million vehicles and, over the next several years as more stringent safety regulations are implemented in major markets, it is expected that the percentage of newly-produced vehicles that include ADAS will increase.

Market research firm Yole Développement expects advanced imaging technology for automotive applications to be worth $7.3 billion by 2021, with ADAS accounting for 51 per cent of this revenue. At the beginning of the year, On Semiconductor licensed a vision embedded computing platform from Ceva for its automotive ADAS product lines.

Building on ADAS products like automatic emergency braking and lane assistance, Mobileye is now using the latest techniques in artificial intelligence and deep learning to deploy 360-degree surround-view mono-vision sensing; to build high-definition, crowdsourced maps; and to provide vehicles with the computer intelligence required to negotiate complex driving situations.

Mobileye believes that these technologies, along with important technological inputs developed by its automaker and supplier partners, can eventually result in a world where vehicle injuries and fatalities can be reduced by a very significant amount.

The acquisition will couple technologies from both companies, including Intel’s computing and connectivity expertise and Mobileye’s computer vision expertise to create automated driving solutions from the cloud through the network to the car. 

The transaction extends Intel’s strategy to invest in data-intensive market opportunities that build on the company’s strengths in computing and connectivity from the cloud, through the network, to the device.

Related articles:

Renault to develop ADAS with Chronocam's neuromorphic vision sensors

Company: 

Recent News

06 April 2020

Flir Systems has launched a thermal sensor that it is prioritising for tasks that combat the spread of Covid-19, such as screening people for fever

02 April 2020

Stemmer Imaging has said that the company at this point sees 'a softening' in the markets it serves, but that this is 'not catastrophic' at the moment

31 March 2020

Imaging firm Scorpion Vision is doing its bit to make sure supermarket shelves are stocked with items including tea, flatbreads, and sprouts

31 March 2020

Basler has recorded growth in its 2019 group sales, amounting to €162m compared to €150m in 2018