Intel spent 15.3 billion to buy Mobileye reshuffle will allow unmanned field

Source：Updated：2017-03-16 08:23:39

It is reported that Intel agreed to pay $15.3 billion acquisition of Mobileye Israel self-driving cars technology company, the deal could lead to Intel and old rival nvidia and qualcomm direct competition in the field of unmanned, racing to develop unmanned systems for global auto makers. 
Intel is the world's largest computer chip maker, in recent years the company has been trying to develop its core markets outside of computer chips. The Mobileye and bought can help Intel stepped into the first camp which auto parts suppliers. 
It will also make the world automobile manufacturers and suppliers in the field of automatic driving competition intensified, and could further push up the overheating of unmanned startup valuations. 
Intel's the stakes are huge. Last year, Goldman sachs is expected to top driving assistance systems market scale will increase from about $3 billion in 2015 to $2025 in 96 billion, will reach $290 billion by 2035. 
Skeptics car companies and suppliers will be able to as they promised, in the next four years deploy automatic driving safely. On Monday, the investment analyst for Intel and potential synergies between Mobileye and expressed concern about the price of the transaction. 
While Intel has invested in at least six startups, these companies for unmanned system development from the robot to different components such as sensors, but did not become the important participants of the field. 
Mobileye have broad portfolio of products, including car cameras, sensors, chip, on-board network, traffic maps, machine learning, the cloud software, and data integration and management, etc. 
Investment company Loop Capital Markets analyst Betsy Fan Xisi (Betsy Van Hees) said: "it (Intel) for them into a significant growth opportunity to market is an important opportunity." She added: "Mobileye technology is key... the price also seems to be fair." 
In spite of this, the Semiconductor industry consultancy, Semiconductor Advisors wrote on Monday, Intel acquired Mobileye means a strategic move, "far beyond its core business of franchising". 
The us investment bank, B.R iley analyst Craig Ellis (CraigEllis) pointed out that Intel's acquisition of the latter is the price of Mobileye 21 times 2017 expected earnings, than the average price of the semiconductor industry trade nearly three years more than six times higher. Very expensive, "he said." this trading "improve the position of Intel in the automated driving auxiliary market, but in the field of high-end nvidia is still the leader. 
Relative to the Mobileye profit last year, Intel paid the premium of 60 times, grace is qualcomm acquisition of Dutch pu four times the size of the premium paid. 
$63.54 a share of cash transactions, relative Mobileye Friday's closing price of $47 premium of about 33%, but less than the company in August 2015, the highest closing price of $64.14. 
Monday's close, Mobileye's share price rose by 28.2%, closing at $60.62, while Intel's shares fell 2.1%. 
More and more companies into unmanned technology market, including electronic map company Here, and from the Alphabet Inc's Waymo to China's Internet giant baidu and other technology companies. 
Monday's close, the cooperation with both Intel and Mobileye automotive parts maker Delphi (DLPH) shares rose 4.0%. Delphi said in a statement, it hopes the deal can speed up the deployment of the new technology. 
Intel outside using a computer chip technology has a good record. Last year, the company announced a stripping after called McAfee network security departments, its majority stake for $3.1 billion in cash (including debt) sale to private equity firms. Five years ago, Intel spent $7.7 billion takeover of the company. 
Intel will give Mobileye unusual autonomy. Mobileye will with Intel in November last year to set up autonomous division (Automotive Driving Group) to merge, forming new autopilot department. New division will be headquartered in Israel, by Mobileye co-founder and chairman of eminem nong shah shuah (Amnon Shashua) leadership. 
Intel's chief executive, Brian family again, (Brian Krzanich), said the deal similar to the eyes of the "self-driving cars and the actual drive vehicle intelligent brains together". 
Mobileye for more than 20 manufacturers provide integrated camera, chips and driving assistant system software - these are all important parts of driverless cars. 
In an interview in January this year, bildad told Reuters: "if you want to create a truly automatic driving car, this is a require multiple players task... the idea is to have many partners to share resources and data." 
Mobileye is tesla early vision system suppliers, but last summer, a tesla Model S driver using the tesla Autopilot semi-automatic driving cars system operation, accident and died. Since then, the two companies, intense and public quarrel finally interrupted cooperation. 
Mobileye, founded in 1999, the global driving assistance and anti-collision system market share of 70%. Its 660 employees, adjusted gross income of $173 million last year. 
The deal will let the sand and two other executives of Mobileye huge benefits: they owns almost 7% of the company. Israel's largest importers and one of the earliest investors Mobileye Shmuel Harlap also holds a 7% stake in the company. 
Mobileye and Intel has with the German carmaker BMW (executive DE) cooperation, plan in the second half of the year on the road into a team of about 40 unmanned test car. 
Mobileye working with Intel, meanwhile, introduced the fifth generation of chip to drive a car will be used for fully automated, plan to around 2021. Mobileye also cooperate with Delphi company develop an unmanned platform, and will be available to a small car companies, which may not have the resources to develop their own unmanned systems. 
Last October, qualcomm announced a $47 billion acquisition of grace wisdom pu's largest chip suppliers, the are trying to enter the market, such as Intel, Mobileye and nvidia other chip makers a huge pressure. 
Qualcomm acquisition deal of pu, will create the industry's largest sensors, network and other vital parts suppliers on autopilot, the deal is expected to be completed later this year.