Intel declares that it plans to drive Mobileye public in the US next year through an initial public offering (IPO) of freshly issued Mobileye stock, with the full approval of Intel's board of directors.

Mobileye is a global forerunner in advanced driver-assistance systems (ADAS) and self-driving solutions, a fast developing and evolving field that is revolutionizing how products and people are transported around the world.

By forming a separate publicly traded company, Intel stockholders will be able to unlock the value of Mobileye, to build on the firm's outstanding track record and service its expanding market.

The chip maker intends to sell or divest its majority ownership interest. As it prefers to fully consolidate Mobileye as the dominant shareholder, even if a final decision on the IPO is still pending and is subject to market conditions.

Mobileye’s CEO, Amnon Shashua, is said to continue managing the same executive team.

Mobileye will bring together Intel employees working on lidar and radar technologies, as well as Moovit, an Israeli trip planning app recently bought by Intel, according to the company.

“Intel will remain the majority owner of Mobileye, and the two companies will continue as strategic partners, collaborating on projects as they pursue the growth of computing in the automotive sector”, says Mobileye.

On that accord, Intel’s CEO, Pat Gelsinger expresses, “Intel’s acquisition of Mobileye has been a great success. Mobileye has achieved record revenue year-over-year with 2021 gains expected to be more than 40 percent higher than 2020, highlighting the powerful benefits to both companies of our ongoing partnership”.

“Our alignment with Intel continues to provide Mobileye with valuable technical resources and support that has yielded strong revenue along with free cash flow that allows us to fund our AV development work from current revenue”, responds Shashua.

According to Shashua, Mobileye has been able to treble annual chip shipments, revenue, and headcount since its acquisition in 2017.

This year, Mobileye is said to have shipped its 100 millionth EyeQ system-on-chip (SoC), will have scaled autonomous vehicle (AV) test programs across multiple cities in the US, Europe, and Asia, unveiling its production robotaxi, and will have secured 41 new ADAS program wins across more than 30 automakers globally.

New program victories include everything from basic driver assistance to next-generation driver aid and full self-driving systems. In addition, starting in 2023, the company has won various deals for mobility-as-a-service (MaaS) initiatives, as well as consumer and business-to-business car manufacturing designs for Mobileye's self-driving system.

“Amnon and I determined that an IPO provides the best opportunity to build on Mobileye’s track record for innovation and unlock value for shareholders”, believes Gelsinger.