Israeli autonomous driving firm Mobileye now Intel subsidiary after $15.3B acquisition deal

After purchasing 84% of Mobileye’s outstanding ordinary shares, the merger between Intel and the breakthrough Israeli autonomous driving company was completed. Mobileye is now an Intel subsidiary that will remain headquartered in Israel and under the supervision of one of its co-founders.
From left: Klaus Fröhlich of BMW; Ziv Aviram of Mobileye; Amnon Shashua of Mobileye; Harald Krüger of BMW; Brian Krzanich of Intel; and Doug Davis of Intel Photo Credit: BMW Group

Intel officially announced on Tuesday the completion of the deal to buy Mobileye, with the purchase of about 84% of the outstanding ordinary shares. Intel stated that it estimates that the opportunity for autonomous vehicles, data and service market will be up to $70 billion by 2030.

“With Mobileye, Intel emerges as a leader in creating the technology foundation that the automotive industry needs for an autonomous future,” stated Intel CEO Brian Krzanich. “It’s an exciting engineering challenge and a huge growth opportunity for Intel. Even more exciting is the potential for autonomous cars to transform industries, improve society and save millions of lives.”

Intel’s autonomous driving department will merge with the Israeli company. As an Intel subsidiary, Mobileye will continue to operate from Israel under the supervision of co-founder Professor Amnon Shashua, who will become the Intel senior vice president and Mobileye CEO and chief technology officer. Ziv Aviram, the other co-founder, will resign from the company.

“Leading in autonomous driving technology requires a combination of innovative proprietary software products and versatile open-system hardware platforms that enable customers and partners to customize solutions,” said Shashua. “For the first time, the auto industry has a single partner with deep expertise and a cultural legacy in both areas. Mobileye is very excited to begin this new chapter.”

Click Here for more reports by Becca Noy

Found mistakes in this report? - Click Here

JerusalemOnline News Feed