Intel has moved to purchase Israeli autonomous vehicle technology provider Mobileye for 15.3 billion US dollars (roughly 20.2 billion AUD). Both companies had previously had a relationship to develop self-driving technology that also involved BMW.
The deal will thrust the US chipmaker into a leading position in the burgeoning arena of smarter cars that will eventually be able to drive themselves and operate in an ecosystem with other autonomous vehicles and mobile devices.
Rival company Qualcomm had recently bought automotive chip supplier NXP and partnered with graphics hardware leader Nvidia to explore driverless car systems as well, something that could significantly hamper Intel’s own plans had they not acquire Mobileye.
Nearly every major carmaker is setting aside a sizeable chunk of their research and development budget into increasing their expertise in self driving technology, though the resulting technology most likely will be proprietary and incompatible with any cars from other marques.
This isolation might not be the quickest route to advancement and maturity of this new technology, resulting in a prolonged period of acceptance among drivers, but companies such as Tesla, Nissan, Ford, and Volvo have made impressive strides recently. Other tech companies such as Alphabet (Google) and Uber are also looking into this space with keen interest.
Mobileye’s portfolio includes a comprehensive suite of hardware and software that together can have a car pilot itself. An array of sensors, processors, cameras, and cloud resources brings it all together to achieve driverless mobility.
Intel’s various projects that investigate self driving cars will be consolidated under their newly acquired Mobileye division, but there are no plans to shake up the Israeli company’s management style or leadership. They will remain based in Jerusalem.
