Intel's US$15b purchase of Mobileye shakes up driverless car sector

Detroit

INTEL Corp agreed to buy Israeli autonomous vehicle technology firm Mobileye for US$15.3 billion on Monday in a deal that could thrust the US chipmaker into direct competition with rivals Nvidia Corp and Qualcomm Inc to develop driverless systems for global carmakers.

The pricey acquisition of Mobileye could propel the world's largest computer chipmaker into the front ranks of automotive suppliers at a time when Intel has been reaching for markets beyond its core semiconductor business.