Intel detailed plans to take advanced driving assistance systems (ADAS) chip manufacturer Mobileye public while retaining a majority stake, a move designed to let shareholders capitalise on strong demand for related silicon.
The public offering is expected in mid-2022: Mobileye founder and CEO Amnon Shashua will continue to lead the company.
Intel CEO Pat Gelsinger stated the company’s acqusition of Mobileye in 2017 had been “a great success” and an IPO will be “the best opportunity to build on Mobileye’s track record for innovation and unlock value for shareholders”.
The company plans to continue working with Mobileye after the IPO, and will dedicate manufacturing capacity to the automotive industry.
It noted Mobileye expects revenue growth of 40 per cent in 2021 and is now supplying its technology to 30 of the world’s largest automotive manufacturers. An autonomous electric vehicle produced by the company is set to be used by taxi companies in Germany and Israel in 2022, Intel added.
The ADAS market is also a focus for Intel competitor Qualcomm, which in October moved to buy specialist Veoneer.