Intel Acquires 84 Percent of Mobileye Shares to Accelerate Self-Driving Technology
Aug. 9, 2017—Intel has further extended its offer to buy out remaining shareholders of Mobileye NV after securing 84 percent of the acquisition target's shares, the two companies said on Tuesday.
Intel said the acquisition is expected to accelerate innovation for the automotive industry and positions Intel as a leading technology provider in the fast-growing market for highly and fully autonomous vehicles.
"The combination of Intel and Mobileye will allow Mobileye’s leading computer vision expertise (the “eyes”) to complement Intel’s high-performance computing and connectivity expertise (the “brains”) to create automated driving solutions from cloud to car," Intel said.
Intel’s Automated Driving Group (ADG) will combine its operations with Mobileye, an Intel Company. The combined Mobileye organization will lead Intel’s autonomous driving efforts, and will have the full support of Intel resources and technology to define and deliver cloud-to-car solutions for the automotive market segment. Mobileye will remain headquartered in Israel and led by Prof. Amnon Shashua who will serve as Intel senior vice president and Mobileye CEO and chief technology officer. In addition, Ziv Aviram, Mobileye co-founder, president and CEO, is retiring from the company, effective immediately.
Intel estimates the vehicle systems, data and services market opportunity to be up to $70 billion by 2030.
In an effort to persuade any investor holdouts to tender their remaining shares, Mobileye said it had submitted notice to the New York Stock Exchange of plans to delist its shares, which could occur as early as the end of the month.