Samsung Electronics, a South Korean-based company, has entered into a partnership to supply semiconductors to Mobileye Global, an autonomous driving technology firm headquartered in Israel and owned by Intel Corporation, a US-based company.
Mobileye, founded in 1999, is a renowned global leader in autonomous driving technology with a market capitalization of nearly $35 billion. Intel acquired the company in 2017 for slightly over $15 billion, and it became publicly listed on Nasdaq in October of the following year.
Mobileye has traditionally relied on Taiwan Semiconductor Manufacturing Company (TSMC) for its semiconductor needs. However, it has now forged an alliance with Samsung Foundry, a division of Samsung Electronics, for the production of semiconductors for its latest EyeQ 5 system-on-chip (SoC) based on 7-28nm processes. Notable automakers such as BMW, Audi, Volvo, Tesla, Nissan, and Geely have already integrated driver assistance systems (ADAS) powered by EyeQ technology.
Recognizing the significance of automotive chips in its future growth, Samsung Electronics is prioritizing the development of 5, 8, and 14nm processes while intensifying its focus on 4nm processes. The company has unveiled plans to accelerate chip production for the automotive sector, aiming to strengthen its competitive position. Additionally, Samsung aims to solidify its leadership in the foundry process and expand its global customer base in the self-driving vehicle sector.
As the world's leading memory chip manufacturer, Samsung Electronics had previously signed an agreement in February to supply semiconductors based on 5nm processes to Ambarella, a US-based chip design firm specializing in autonomous driving and ADAS systems, located in Santa Clara, California.