Intel recently announced the acquisition of Mobileye NV, an Israeli car-camera company. The purchase is one of Intel’s largest ever, and signals that the company sees great potential in the future of autonomous vehicles. Ted Greenwald writes that a race to build autonomous vehicles has ramped up among companies including Tesla, Google, Uber and more. He reports:
The deal for Mobileye is the second largest in Intel’s 48-year history, after its $16.7 billion acquisition of Altera Corp. in 2015, and its size signals Intel’s strong desire to stake out a significant position in the market after the chip maker largely missed out on the smartphone boom.
Intel, which faces a raft of challenges in its core business of powering the personal-computer industry, estimates the market for autonomous-driving systems, services and data will reach $70 billion by 2030. That includes navigation, in-car communications and advertising—and keeping a car’s perception and decision-making capabilities finely tuned to avoid mishaps as road conditions change.
“You can think of the car as a server on wheels,” Intel Chief Executive Brian Krzanich said in an interview. “The average autonomous car will throw out four terabytes of data a day, so this is one of the most important markets and one of the fastest-growing markets.”
The industry will include not only cars but autonomous algorithms, digital maps and a variety of sensors—all new markets to Intel, Mr. Krzanich said. “And they require all the assets Intel has,” he said.
Mobileye’s technology helps a car see and understand the space around it, providing functions such as automatically keeping a car in its lane. It includes 360-degree vision and mapping, and integratesvarious sensor elements such as cameras, radar, sonar and the laser-sensing technology known as LiDAR. The company’s chips are already installed in more than 300 car models, Mobileye says on its website.
Read more here.
Latest posts by Dick Young (see all)
- My Investment Plan: Easy to Understand and Easy to Implement - July 20, 2018
- Trump’s Pro-Business American Revolution: Part II - July 18, 2018
- Do Old Investing Rules No Longer Apply? - July 16, 2018