According to a prospectus submitted to the SEC on Friday, Mobileye, an Intel-owned business that produces chips, maps, and software for self-driving cars, has filed for an IPO.
According to Mobileye’s filing, the Israeli-based subsidiary’s sales increased significantly from $879 million in 2019 to $967 million in 2020 to $1.39 billion in 2017. From $328 million in 2019 to $75 million in 2018, losses decreased.
The decision by Intel to list Mobileye on the Nasdaq is a part of a larger plan to revive its core business. Intel purchased the business in 2017 for $15.3 billion, and it had previously stated intentions to float Mobileye this year.
As it begins a costly process to turn into a foundry for other chipmakers, Intel previously stated that it would use some of the money from the Mobileye listing to construct additional chip factories.
With the help of the company’s “EyeQ” camera, chips, and software, Mobileye, founded in 1999, has collaborated with Audi, BMW, Volkswagen, GM, and Ford to develop cutting-edge driving and safety features like driver assistance and lane-keeping. According to the filing by Mobileye CEO Amnon Shashua, 800 different vehicle models are currently being used by 50 different companies.
Mobileye intends to list Class A common stock, according to the prospectus, but it makes no mention of the proposed offering’s share size or price range. According to the prospectus, Intel will continue to hold Class B shares, which have ten times the voting power of Class A shares, giving it control over the company’s board and other decisions.
As a result of rising inflation and macroeconomic worries, demand for cutting-edge growth technologies like self-driving cars has significantly decreased. Intel is looking to test the public markets at this time. In extended trading, the price of Intel rose by less than 1%.