TL;DR
Mobileye announced it will acquire humanoid-robot developer Mentee Robotics for $900 million in a deal that combines cash and stock. The transaction, announced at CES, was approved by Mobileye’s board and Intel and is expected to close in the first quarter.
What happened
During CES in Las Vegas, Mobileye — the Intel subsidiary known for automotive computer vision chips and autonomy efforts — revealed a deal to acquire Mentee Robotics for $900 million. The purchase price is structured as roughly $612 million in cash plus up to 26.2 million shares of Mobileye common stock. Mentee, a developer of humanoid robots co-founded by Mobileye president Amnon Shashua in 2022, will remain an independent unit inside Mobileye after the transaction. Shashua, who holds leadership and ownership roles in both companies, recused himself from Mobileye board deliberations on the deal. The acquisition was approved by Mobileye’s board and by Intel, Mobileye’s largest shareholder, and is expected to finalize in the first quarter. Mobileye said the deal will raise its operating expenses in 2026 by a low-single-digit percentage as it expands beyond automotive autonomy toward what it calls Physical Artificial Intelligence.
Why it matters
- Marks a strategic move by an automotive-focused AI supplier into humanoid robotics, signaling broader ambitions beyond vehicle autonomy.
- Combines Mentee’s humanoid-robot development with Mobileye’s autonomy software, hardware and AI training resources, potentially accelerating robotics R&D.
- Corporate governance was addressed: Amnon Shashua recused himself from board consideration due to his ties to both companies.
- The deal will have a measurable but modest near-term financial impact — Mobileye expects a low-single-digit increase in 2026 operating expenses.
Key facts
- Acquisition announced at CES: total value $900 million.
- Consideration: about $612 million in cash plus up to 26.2 million shares of Mobileye common stock.
- Mentee Robotics develops humanoid robots and was co-founded by Amnon Shashua in 2022.
- Shashua recused himself from Mobileye board deliberations and approval relating to the transaction.
- Deal was approved by Mobileye’s board and Intel, the company’s largest shareholder.
- Transaction is expected to close in the first quarter.
- Mobileye expects the acquisition to modestly increase 2026 operating expenses by a low-single-digit percentage.
- Mobileye described the move as a step toward “Physical Artificial Intelligence” and broader robotics ambitions.
- Mobileye reported an automotive revenue pipeline of $24.5 billion over the next eight years, a figure it said is up more than 40% since January 2023.
- A day before the acquisition announcement, Mobileye disclosed a customer agreement for 9 million EyeQ6H-based Surround ADAS systems with a “top 10 automaker”; Volkswagen Group had already been announced as a user of the chip.
What to watch next
- Expected close of the acquisition in the first quarter (confirmed in the source).
- Timelines for when Mentee’s humanoid designs might be productized and commercialized — not confirmed in the source.
- How Mobileye will operationally align Mentee with its AI training and compute infrastructure to realize synergies — not confirmed in the source.
- Whether Mobileye will pursue additional partnerships or customer deals that leverage robotics alongside its automotive business — not confirmed in the source.
Quick glossary
- Humanoid robot: A robot designed with a human-like form or capabilities to interact with environments and people in ways that resemble human actions.
- Advanced Driver Assistance Systems (ADAS): Vehicle technologies that use sensors and software to help drivers with tasks like lane-keeping, adaptive cruise control and collision avoidance.
- Physical Artificial Intelligence: A broad term for AI systems that perceive, reason about, and act within the physical world, often embodied in robots or autonomous machines.
- Chip and software stack: The combination of specialized semiconductor hardware and the software that runs on it, used to process sensor data and execute AI or control functions.
- Acquisition consideration: The total payment made to buy a company, which can include cash, stock, and other financial instruments.
Reader FAQ
What is the purchase price and how is it structured?
The deal is valued at $900 million: roughly $612 million in cash plus up to 26.2 million shares of Mobileye common stock.
Who founded Mentee Robotics and when?
Mentee was co-founded by Amnon Shashua in 2022.
Will Mentee be fully merged into Mobileye?
Mentee will continue to operate as an independent unit within Mobileye.
When will the acquisition close and what is the financial impact?
The transaction is expected to close in the first quarter and is forecast to modestly raise Mobileye’s 2026 operating expenses by a low-single-digit percentage.
Will Mobileye’s president be involved in approving the deal?
Amnon Shashua recused himself from Mobileye board consideration and approval due to his ties to both companies.
Mobileye made its name, and money, by supplying automakers with millions of computer vision chips designed to support automotive safety features and advanced driver assistance systems. The Intel subsidiary and…
Sources
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