Intel to buy Mobileye in bid to dominate self-driving car technology
Self-driving vehicles have potential to disrupt the vehicle industry, and car makers and tech firms are scrambling to be the market leaders
San Francisco — Intel plans to buy Israel’s Mobileye for about $15bn, its second-biggest acquisition and a bold move to dominate technology for self-driving cars. The US chipmaker will pay $63.54 per share in cash for Jerusalem-based Mobileye, according to a statement on Monday from both companies. Mobileye’s shares surged about 30% in premarket trading in New York. Intel is trying to accelerate a push into what many chip companies view as the next big opportunity: self-driving cars and the data they generate. With Mobileye, Intel gains the ability to offer car makers a larger package of all of the components they will need as vehicles become autonomous. Intel estimates that the vehicle systems, data and services market will be worth as much as $70bn by 2030. "Together, we can accelerate the future of autonomous driving with improved performance in a cloud-to-car solution at a lower cost for auto makers," Intel CEO Brian Krzanich said in the statement. While Intel’s chips are domina...
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