Much of the world may be starting to wind down for the holiday season, but not Intel and its new CEO. Last night Pat Gelsinger announced that Intel plans to take Mobileye public in mid-2022.
Mobileye is a provider of advanced driver-assistance systems. Intel acquired Mobileye in 2017 for $15.3 billion, and it currently holds 100% of the company’s stock.
The IPO plan calls for many elements to remain in place. Ammon Shashua, a Mobileye co-founder, will remain as the company’s CEO. Intel and Mobileye will remain as partners. And Intel intends to remain a majority shareholder of Mobileye, with no plans to spin off or further divest its majority ownership.
Why take Mobileye public? By way of an answer, Intel says the IPO will “unlock” the value of Mobileye while also letting the company build on its successful track record.
Intel also points out that the auto electronics market is growing fast. A McKinsey & Co. /Intel report predicts that semiconductors will represent 20% of a premium vehicle’s total bill-of-materials by 2030.
Don’t know much about Mobileye? Here are some of the company’s key milestones:
1999: Founded in Israel by Amnon Shashua, Ziv Aviram and Norio Ichihashi
2004: Samples its first camera-based advanced driver-assistance system (ADAS). Called EyeQ, it’s a system-on-chip running on a 180 nm process.
2007: Goes into production with 3 automakers.
2010: Tech offered in 36 car models of 7 brands.
2014: Goes public on the New York Stock Exchange with an IPO valuation of $5.3 billion.