Munzir HakimiTable of Contents
What’s the Deal?
Intel’s Bold Move into Autonomous Driving
US chipmaker Intel is making a significant investment in the future of transportation by acquiring Mobileye, a leader in autonomous driving technology, for $15.3 billion. This acquisition positions Intel to tap into the rapidly growing driverless car market, which is projected to reach $70 billion by 2030. Mobileye, based in Jerusalem, has established contracts with 27 automakers and dominates the market for software that supports automatic emergency braking and semi-autonomous cruise control.
The Future of Driverless Cars
Intel plans to leverage its partnership with Mobileye and BMW to deploy 40 test vehicles later this year. As cars evolve from assisted driving features to fully autonomous systems, they are becoming “data centers on wheels.” By 2020, these vehicles are expected to generate an astonishing 4 terabytes of data daily, providing valuable insights for further advancements.
Market Dynamics and Expert Insights
Analysts view this acquisition as a strategic move for Intel, which previously had minimal presence in the automotive sector. Betsy Van Hees from Loop Capital Markets highlights it as an opportunity for growth in a burgeoning industry. Timothy Carone from Notre Dame University likens this shift to pivotal technological changes seen during the personal computer revolution.
Despite these promising developments, Intel’s stock saw a slight decline following the announcement of the deal. Meanwhile, Mobileye continues its impressive growth trajectory; last year alone saw its revenue triple to $358 million.
Concluding Remarks
The acquisition of Mobileye marks a transformative step for Intel as it seeks to establish itself within the autonomous vehicle landscape. With increasing competition among tech giants like Google and Nissan also venturing into driverless technology, Intel’s strategic positioning could redefine its role in future mobility solutions.
Reference
- Intel Acquires Mobileye: A Game Changer For Autonomous Vehicles
- The Future Of Driverless Cars: What You Need To Know
- How Data Will Drive The Future Of Autonomous Vehicles
