Advanced Driver-Assist Business Takes Off

During an investor summit in Jerusalem, Mobileye President and CEO Professor Amnon Shashua projected significant and sustained revenue growth for the next decade. The forecast was offered within a broader strategy update that included new data points across Mobileye's lines of business, an expanded total available market (TAM) and new customer announcements. At the event, Intel CFO George Davis described Mobileye as one of the company's strategic, data-centric growth opportunities, which is outperforming Intel's initial expectations.

"Intel is participating in an expanded and increasingly data-centric TAM," Davis said. "As one of Intel's big bets, Mobileye is a critical part of Intel's future and is already exceeding our expectations with ADAS revenue today that is funding the future of driverless cars.

In the 2019's third quarter, Mobileye achieved another record quarter with 20 percent revenue growth year over year driven by continued advanced driver-assistance systems (ADAS) momentum. As one of the most successful acquisitions in Intel's history, Mobileye is now Intel's fastest growing business on an annualized basis. The strength of Mobileye's business today is largely attributable to a rapidly expanding ADAS market, while its future business will expand greatly with forays into data monetization and the nascent robotaxi market.

"Mobileye is uniquely creating economic and societal value every day of the journey to fully autonomous vehicles," Shashua said. "Our ADAS to AV strategy sets us up to play the marathon game with self-funding of R&D that will enable us to address key segments of a significant TAM for ADAS and data of $72.5 billion and an estimated $160 billion TAM for robotaxis by 2030.

During the event, Shashua announced a Level 4 design win with Chinese electric automaker NIO. NIO will integrate Mobileye's industry-leading self-driving system to build highly automated and autonomous vehicles (AV) for consumer markets in China and other major territories. NIO will also work with Mobileye to develop a robotaxi variant of its next-generation vehicle that will be exclusively sold to Mobileye for global deployment of robotaxi-based ride-sharing services.