Intel is getting into the car business through the purchase of Mobileye for 15.3 billion dollars. Mobileye is the company behind the self driving technology for BMW, GM, Volvo, and Tesla.
— CNBC Now (@CNBCnow) March 13, 2017
Mobileye N.V. was founded in 1999 by Amnon Shashua (a researcher of the Hebrew University), when he evolved his academic research into a technical solution for a vision system which could detect vehicles using only a camera and software algorithms on a processor. After receiving a license to use the Technology which was owned by Yissum it was possible to incorporate the company. Together with Ziv Aviram, he set up the company’s R&D headquarters in Jerusalem, Israel. At first the company developed algorithms, and a processor chip called the EyeQ chip. All of Mobileye’s proprietary image processing algorithms run on the EyeQ chip. After years of testing, the chip and software algorithms began to be sold as commercial products to original equipment manufacturer (OEM) customers. The company’s first clients were automotive manufacturers such as BMW, General Motors and Volvo, whose electronics suppliers integrated Mobileye’s technologies into these companies’ cars, at first as an optional accessory when buying a new car, and later as a standard fit in new cars.
In 2006 Mobileye set up an aftermarket department, which sells finished products manufactured by Mobileye at their Philippines factory, IMI. The aftermarket products are sold to an international network of distributors on all continents who sell the products to fleets of trucks and buses, to car dealerships, and to car accessory shops.
In August 2015 Tesla Motors announced that it is using Mobileye’s technology to enable its self-drive solution, which would be incorporated into Model S cars from August 2015. After the first deadly crash of a self-driving Model S with active Autopilot became public in June 2016, Mobileye issued a statement that its technology won’t be able to recognize a crossing trailer (which was the cause of the accident) until 2018. In July 2016, Mobileye announced the end of its partnership with Tesla after the EyeQ3.
In January 2017, Mobileye, BMW and Intel announced that they were developing a test fleet of autonomous vehicles that would be on the road in the second half of 2017. The companies plan to develop autonomous vehicles for the consumer market by 2021.In March 2017, Intel announced their recent deals to buy Mobileye for $15.3 billion.[14