FOLLOW US

Sun

August 15, 2026

Business November 29, 2024 4 mins read

Intel to buy driverless car-tech firm Mobileye for $15 billion

Business ı By USA Herald

0 Comments

FILE PHOTO: The logo of Intel, the world’s largest chipmaker, is seen at their offices in Jerusalem

By Tova Cohen and Ari Rabinovitch

JERUSALEM (Reuters) - U.S. chipmaker Intel <INTC.O> agreed to buy driverless car-technology firm Mobileye <MBLY.N> for $15.3 billion on Monday, positioning itself for a dominant role in the autonomous-driving sector after missing the market for mobile phones.

The $63.54-per-share cash deal marks the largest purchase of a company solely focused on the self-driving sector.

Mobileye's shares jumped as much as 30 percent to $61.51 in early U.S. trading, while Intel's shares were down 1.3 percent.

The deal underscores the expanding alliances between automakers and their suppliers as they race to develop self-driving cars, a concept that once seemed a science-fiction dream but is drawing closer to reality.

While Intel is known for hardware chips and Mobileye for collision detection software, the merger promises to create a large portfolio of technologies needed for driverless vehicles.

That includes cameras, sensor chips, in-car networking, roadway mapping, machine learning and cloud software, as well as the data-centers needed to manage all the data involved.

"It's an area where (Intel) has had very little presence - the automotive market, and so this is a tremendous opportunity for them to get into a market that has significant growth opportunities," said Betsy Van Hees, an analyst at Loop Capital Markets.

"Mobileye's technology is very critical ... The price seems fair," she added.

The offer represents a premium of about 33 percent to Mobileye's Friday closing price of $47.

Intel will integrate its automated driving group with Mobileye's operations, with the combined entity being run by Mobileye Chairman Amnon Shashua from Israel.

Intel Chief Executive Brian Krzanich said the acquisition was akin to merging the "eyes of the autonomous car with the intelligent brain that actually drives the car."

Mobileye supplies cameras, chips and software for driver- assist systems - the building blocks for self-driving cars - to more than two dozen manufacturers.

The company was an early supplier of vision systems to Tesla, but the two companies had an acrimonious and public breakup last summer after the driver of a Tesla Model S was killed while operating the vehicle using Tesla's Autopilot system.

Intel said it expects the vehicle systems, data and services market to rise to $70 billion by 2030.

Mobileye, founded in 1999, accounts for 70 percent of the global market for driver-assistance and anti-collision systems. It employs 660 people and had adjusted net income of $173.3 million last year.

Analysts said that mounting a counterbid would be difficult as Mobileye's Shashua would remain in charge and the combined entity would be based in Israel.

Shashua and two other senior Mobileye executives stand to do well by the deal: together they own nearly 7 percent of the company. Shmuel Harlap, Israel's biggest car importer and one of Mobileye's earliest investors, also holds a 7 percent stake.

BATTLE FOR SELF-CONTROL

Mobileye and Intel are already collaborating with German automaker BMW <BMWG.DE> on a project to put a fleet of around 40 self-driving test vehicles on the road in the second half of this year.

At the same time, Mobileye has teamed up with Intel for its fifth-generation of chips that will be used in fully autonomous vehicles that are scheduled for delivery around 2021.

Last October, Qualcomm announced a $47 billion deal to acquire the Netherlands' NXP, the largest automotive chip supplier, putting pressure on other chipmakers seeking to make inroads into the market, including Intel, Mobileye and rival Nvidia <NVDIA.O>.

The Qualcomm-NXP deal, which will create the industry's largest portfolio of sensors, networking and other elements vital to autonomous driving, is expected to close later in 2017.

For a dozen years, Mobileye has relied on Franco-Italian chipmaker STMicroelectronics to produce chips that the Israeli company sells to many of the world's top automakers for its current, third-generation of driver-assistance systems.

Mobileye's relationships with automakers, leading suppliers and STMicroelectronics will continue uninterrupted, the companies said in their statement, and Mobileye's current product roadmap will not be affected.

(Additional reporting by Edward Taylor, Eric Auchard and Narottam Medhora; Editing by Luke Baker, Mark Potter and Saumyadeb Chakrabarty)

Previous Article

ABC to Buy TI Fluid for £1 Billion Deal

Read More
348 Posts

USA Herald

We are The People’s Media. USA Herald covers breaking news, politics, and investigative journalism. For anonymous tips please contact Support AT usaherald.com.

Discussion

No comments yet. Be the first to join the discussion!

Don’t Miss It
America August 14, 2026
Trump Orders Navy Back to Steam Catapults
By – Michallie Harrison
America August 14, 2026
Kennedy Center Board Tests Court With Trump Inscription
By – Michallie Harrison
Opinion August 14, 2026
USS Abraham Lincoln Crisis Is a Leadership Failure
By – Michallie Harrison
Industry News August 13, 2026
Japan Unveils a “Human Refrigerator” to Beat the Summer Heat
By – Muhammad Hasnat
Arizona January 11, 2025
Kelly Warner Law Firm Blames USA…

In what appears as a desperate attempt to defend multiple…

By – USA Herald
Arizona January 4, 2025
Aaron Kelly Law Firm Resorts To…

Attorney Aaron Kelly and his law partner Daniel Warner are…

By – Jeff Watterson
Arizona December 12, 2024
Arizona Bar Opens Investigation on Attorney…

USA Herald recently reported on a developing story involving Attorneys…

By – Paul O'Neal
America August 13, 2026
Trump Says America Controls Hormuz. But…

Trump says the US has “total control” of the Strait…

By – Muhammad Hasnat
USA Herald August 13, 2026
Luigi Mangione Expected to Plead Guilty…

Luigi Mangione is expected to plead guilty as early as…

By – David Akinwale
USA Herald August 13, 2026
Tropical Storm Lala in Hawaii: Islands…

Hawaii’s calm summer skies are about to get a violent…

By – Rihem Akkouche
America August 13, 2026
Equifax $100M Settlement Marks Record Payout…

For three weeks in the spring of 2022, a hidden…

By – Rihem Akkouche
America August 13, 2026
Sailors Jumping Overboard Reports Rattle Pentagon…

Imagine being stuck on a floating city for eight months…

By – Rihem Akkouche
America August 13, 2026
Taylor Farms Jalapeño Recall Salmonella Scare…

A single shipment of peppers has set off a chain…

By – Rihem Akkouche
America August 13, 2026
Taylor Farms Jalapeño Recall Salmonella Scare…

A single shipment of peppers has set off a chain…

By – Rihem Akkouche
America August 13, 2026
Powerball Winner Emerges in Illinois, Snapping…

For three months, the Powerball jackpot did what a stubborn…

By – Rihem Akkouche
America August 13, 2026
Prichard Colon Death: Once-Unbeaten Boxer Dies…

Prichard Colon never threw another punch after that October night…

By – Rihem Akkouche
America August 13, 2026
Judge Throws Out Trump’s Antisemitism Lawsuit…

A federal judge dismissed the Trump administration’s lawsuit accusing Harvard…

By – Jimmy Adeel
America August 13, 2026
NBC’s SVU Tribute: Best of Mariska…

Fans of Law & Order: Special Victims Unit have a…

By – Marija
America August 13, 2026
Tiger Woods and Nike: 27-Year Partnership…

Tiger Woods built one of the most lucrative athlete-brand partnerships…

By – Jackie Allen
America August 13, 2026
Tiger Woods and Nike: 27-Year Partnership…

Tiger Woods built one of the most lucrative athlete-brand partnerships…

By – Jackie Allen
America August 12, 2026
Heat Dome Brings Dangerous Temperatures Across…

A powerful Heat dome is expanding across the United States,…

By – Jackie Allen
America August 12, 2026
Retirement Rises as Older Americans Leave…

Retirement is becoming an increasingly attractive option for older Americans…

By – Jackie Allen
America August 12, 2026
AI Hallucinations: Why Artificial Intelligence Can…

AI Hallucinations have become one of the most important limitations…

By – Jackie Allen
America August 11, 2026
Part 2. Archbald Faces Big Expansion…

In Archbald, Pennsylvania, a community of roughly 7,000 residents, the…

By – Jackie Allen
America August 11, 2026
Part 1. Data Center Boom Backlash…

A Data Center boom driven by artificial intelligence is creating…

By – Jackie Allen
America August 11, 2026
Part 1. Data Center Boom Backlash…

A Data Center boom driven by artificial intelligence is creating…

By – Jackie Allen
America August 11, 2026
Tupac Shakur: Murder Trial Raises New…

LAS VEGAS — Tupac Shakur, the 25-year-old superstar was riding…

By – Jackie Allen
America August 10, 2026
Terafab: Elon Musk’s Massive Texas Chip…

Elon Musk’s Terafab project is taking shape as an enormous…

By – Jackie Allen
America August 10, 2026
WNBA Draws Political Firestorm as Transgender…

The WNBA has become the latest battleground in the increasingly…

By – Jackie Allen
America August 9, 2026
Solar Eclipse 2026: Five Stages to…

The solar eclipse arriving Wednesday, Aug. 12, will transform daytime…

By – Jackie Allen
America August 9, 2026
New UFO Files Reveal Strange Triangle…

A new batch of UFO files released last week by…

By – Jackie Allen
Business August 13, 2026
Greenland Oil Drilling Delayed Until 2027

Greenland oil drilling planned by a U.S.-backed venture has been…

By – Michallie Harrison
America August 13, 2026
Trump Mail-In Voting Order Heads to…

The mail-in voting 2026 battle has reached the U.S. Supreme…

By – Emma Jackson
America August 12, 2026
US Inflation Rate July 2026 Falls…

The US inflation rate fell slightly to 3.4% in July…

By – Emma Jackson
America August 12, 2026
From First-Degree Charges to Lying in…

A case that began with a daughter’s discovery in a…

By – Rihem Akkouche
America August 12, 2026
Tetrad Enterprises Filed for Chapter 11…

A company with as much as $50 billion in listed…

By – Rihem Akkouche
America August 12, 2026
Avi Loeb’s Warp-Drive Orb Theory Risks…

Key Takeaways Orb reports deserve serious examination—not science-fiction-style assumptions. Loeb’s…

By – Samuel Lopez
America August 8, 2026
Joe Biden: Hunter Says the Prostate…

Former President Joe Biden is experiencing a worsening battle with…

By – Jackie Allen
America August 1, 2026
Stormed the Border: Spain Says 25,000…

CEUTA, Spain (AP) — Spanish authorities say thousands of migrants…

By – Jackie Allen
Breaking News July 29, 2026
Trump Ends Medicare Part D Subsidy,…

The Trump administration is ending a Medicare Part D subsidy…

By – Michallie Harrison
Health July 17, 2026
Taylor Farms Linked to Third Major…

Taco Bell became the public face of a massive Cyclospora…

By – Michallie Harrison
America July 4, 2026
Beach Closures Expand Across Long Island…

Beach Closures were spread across parts of New York just…

By – Jackie Allen
Health July 2, 2026
The Hidden Science Behind Why Your…

For millions of people, the first conscious act of the…

By – Tyler Brooks
America August 12, 2026
209 Triple-Doubles, Two Offers Declined: Russell…

There were two NBA teams ready to hand Russell Westbrook…

By – Rihem Akkouche
Sports July 31, 2026
FIFA World Cup Stake Sale Sparks…

The proposed FIFA World Cup stake sale has triggered a…

By – Michallie Harrison
America July 28, 2026
5 of the Best Free-to-Read Online…

Online Comic Books have changed the way readers discover superheroes,…

By – Jackie Allen
America July 25, 2026
Human Trafficking Operation Nets 15 Arrests,…

SHELBY COUNTY, Ala. — A human trafficking operation in north…

By – Jackie Allen
America July 25, 2026
Adrien Broner Hit With Sexual Battery…

INSIDE THIS REPORT Havana Saint accuses Adrien Broner of sexual…

By – Samuel Lopez
Sports July 22, 2026
Why the Hungarian Grand Prix Never…

The lights go out and twenty-two Formula 1 cars explode…

By – Theresa Jardim

No posts found.

No posts found.

Signup for the USA Herald
exclusive Newsletter