Mobileye Case Study: Navigating Robotaxi Challenges and Intel Merger

This case study examines Mobileye's pursuit of robotaxis, focusing on the challenges it faces, including consumer perception, technological hurdles, and regulatory approvals. The analysis explores Mobileye's vision for advanced driver assistance systems (ADAS) and its ambition to lead the autono...Read More

Case Study Analysis
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Executive Summary
Present case research is conducted on Mobileye which was Co-founded by Amnon
Shukla who is preparing to meet with Intel new CEO to review plan for the future. This research
analyse the vision of company CEO for advanced driver assistance system along with the major
challenges in terms of consumer perception, technological challenges etc. To gain success of
robotaxis from the case study analysis it has been identified consumers are more concerned
towards safety security and cost in terms of self-driving vehicles. In this with the help of
enabling technology company can offer fully automated vehicles technologies like camera, radar
will help organization. It is essential to make sure that they are not hindered by environmental
conditions. This research underlines technologies like LiDAR, EyeQ chips which help
organization to overcome the challenges in effective manner. The approach that has been
adopted for the analysis literature review which helps in understanding viewpoints and concepts
from various authors viewpoint.
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Executive Summary.........................................................................................................................2
INTRODUCTION...........................................................................................................................4
Case brief: Description of the situation...........................................................................................4
Problem statement, plan of analysis.................................................................................................5
Analysis & Findings........................................................................................................................7
Proposed solution to problem..........................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
In March 2021, Amnon Shashua, co-founder and CEO of Israel-based Mobileye, was
preparing to meet with Intel’s new CEO, Pat Gelsinger, to review plans for the future. Mobileye
had been acquired by California-based Intel in 2017 but still operated independently (Candela,
Angeloudis and Demiris, 2021). Mobileye was the global leader in vision technology for
Advanced Driver Assistance Systems (ADAS) with a 70% market share and $1 billion in
revenue. However, for Shashua, ADAS was just the first step towards his dream of leading the
autonomous vehicle (AV) revolution. It was this vision that led Intel to acquire Mobileye for
$15.3 billion. Shashua’s challenge was that consumer AVs were still years away due to concerns
over safety, regulation, cost, and consumer acceptance. Mention below research aim and
objectives in underlined to identify the challenges and possible solutions.
Research aim
“To identify the challenges that company is facing to change customer perception
towards robotaxis in order to change the future mobility”. A case study on Mobileye
Research objectives
 To evaluate the concept of advanced driver assistance systems (ADAS)
 To determine the notion of autonomous vehicle (AV) resolution
 To evaluate the challenges Mobileye is facing in the context of customer concern and
other AV barriers towards robotaxis
 To identify potential technology through which challenges Mobileye to overcome
challenges to ensure the success of robotaxis.
Case brief: Description of the situation
Robotaxis is also termed as self-driving taxi or driverless taxis. These are basically fully
automated electric cars that will help travellers in an effective manner. Present case study is
conducted on Mobileye in which Amnon Shashua, who is the founder and CEO of respective
company is duly preparing to share ideas with Intel new CEO in order to demonstrate the plan of
robotaxis for the future respective. Mobileye has been acquired by California based Intel in the
year 2017. However this organization is still operating independently. This case study underlines
the global view of Mobileye CEO for advanced driver assistance system. In his vision he is
preparing to lead the autonomous vehicle revolution. However there are some certain challenges
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such as cost, consumer concern over regulation safety which is being discussed in this research.
Robotaxis are significantly becoming a potential opportunity through which change in the future
of Mobileye can be made. Case study will analyse the manner in which Mobileye can utilise
their experience technology to overcome the challenges in robotaxis to significantly build a high
definition map. The first robotaxis is planned to launch in the year 2022 by Mobileye (Emory,
Douma and Cao, 2022) which is affecting Mobileye which include invest billions of dollars to
build out a global vehicle integrated robotaxis business or to use robotaxis as a significant
opportunity to learn and then revert back to horizontal supplier of AV chip and software or
further take advantage of both these strategic options. This case study analyse these long term
questions along with the concept of autonomous vehicle and advanced driver assistance system.
All the other technical challenges will also be discussed in this research along with the
technology through which these challenges can be overcome by Mobileye in order to
successfully become a major player in the respective industry.
Problem statement, plan of analysis
Advanced driver assistance systems (ADAS) are mainly group of electric technologies that helps
drivers in parking and driving function. In this technology use of a safe human machine
interference is being undertaken with the help of automated technology such as cameras and
sensors. This helps in reducing or minimising human errors. This technology is playing effective
role in assisting individuals while driving. While in context with autonomous vehicle (AV)
resolution concept this is also known as self driving car, driverless car or car which is
incorporating vehicular automation or robotic car. These vehicles are being significantly capable
to sense its environment as well as operating without human involvement. From the view point
of Hamid and Al-Turjman, 2021). However there are some certain questions technology is being
significantly evolving in which autonomous vehicle industry uses next generation batteries.
artificial intelligence and other technology in order to provide quicker and cleaner transport
facilities to consumers. In context with present case study analysis it has been identified that
Mobileye is significantly facing the issue in terms of concern of consumers towards robotaxis as
well as other technical challenges which is affecting their vision to successfully launch and
assure success of robotaxis in consumer segment. In this with the help of literature review
analysis viewpoint of various authors and industrial experts is being analysed that helps in
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identifying the possible solution to this problem. It has been identified from the viewpoint of
Hawke, Badrinarayanan and Kendall, 2021that AV industry duly attracts tech giants as well as
start-ups. CEO of Mobileye believes that it is important to overcome the technical challenges and
make significant efforts with the help of technology in order to overcome the challenges of
consumer concern and bring advanced technology to assure success the certain technologies such
as cameras, light detecting ranges, radar plays important role and provide great advantage.
However it is essential for Mobileye to make sure that these technology would not cause any
challenges by environmental condition as if one system failed then it will lead towards
significant laws. From the literature review analysis of industry it has been identified that there
are other AV barriers beyond technology. In this safety in context of consumer viewpoint is
acting as a major barrier. In this with the help of conducting good research with the help of
simulation helps in overcoming the challenges. In addition to this the other challenge is getting
regulatory approval especially in terms of self-driving cars as these are majorly associated to
safety of drivers. In this Mobileye is also facing the challenge of consumer express concern
about their safety and they face hesitant towards AV cars. From the literature review analysis it
has been identified that these are certain challenges which is affecting company to bring product
market segment. These problems is affecting organization in number of ways. From the analysis
of case study it has been underlying that with the help of taking advantage of the sources
technology of Intel company can make improvement in real-time driving decisions and can also
bring industries best automotive great computer vision and strong memorandum with suppliers
and automakers. With the help of this merger Mobileye can transform themselves and can offer
consumer more flexible safer and less costly transportation options. Case study analysis
identifies that acquisition by Intel offer company a significant advantage through which they can
accelerate and enhance their area of mapping development toolchain, virtual driving hardware,
high performance computing platform and data centre.
With the help of analysing viewpoint of various authors and experts in AV industry undertaking
effective research of the concepts and technologies that can be utilised to bring a self automated
vehicle as well as understanding consumer viewpoints and concerns will help in overcoming the
problem that company is facing. As per the case study analysis this research plan outlines various
findings and analysis of the challenges that Mobileye is facing in industry along with consumer
concerns in effective manner (Kavitha and Ravikumar, 2021). In this Mobileye while taking
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advantage of consumer theory can understand the manner in which they decide to spend their
money. This theory helps in playing essential role in understanding consumers which helps them
to identify the total response that will help them to manage results metrics as well as numbers.
From the case study analysis it has been identified that consumers are mostly concern towards
safety flexibility and less cost in addition to this it has been identified from the case study that
after the outbreak of COVID-19 consumers are seeking towards more affordable options. With
the help of analysis of consumers with by taking advantage of consumer theory company can
make strategies accordingly to overcome the challenges that they are facing. As per the
viewpoint of the self driving system software is an effective technology through which company
can optimise their self driving system. Furthermore fleet operations, tele operations service and
in drive experience mobility intelligence platform and services are some of the technology that
will help Mobileye to strengthen their value chain. With the help of addressing the mobility
intelligence platform by taking advantage of the merger of company with Intel Mobileye can
provide real time picture and can leverage opportunity. Along with this from the viewpoint of
Nikitas, Vitel and Cotet, 2021it has been identified that in AV industry it is essential for
organization to get regularise and validate effectively as it enhances the opportunity to grab
attention of consumers company can also undertake advantage of self driving cars. As per the
case study analysis and the viewpoint of Riggs, and Pande, 2021 in order to provide a mobility
platform to lauch their robotaxi service. In addition to this according to the viewpoint of Kavitha
and Ravikumar, 2021 and case study analysis organization by taking advantage of the model of
value chain analysis Mobileye can segment their product accordingly and can further assure
success in a well define and effective manner. From the analysis of literature review it has been
underlined that the problem that organization is facing according to the case study can be
effectively overcome with the help of technology and strategic plan along with theories and
models. fFrom the viewpoint of various authors it has been evaluated that in order to assure
success value chain analysis understanding consumer viewpoint with the help of consumer
theory help organization to significantly overcome the challenges they will help them to assure
success in industry effectively.
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Analysis & Findings
From the analysis of case study of Mobileye it has been identified that company is facing the
challenge of consumer perception towards robotaxis along with the need of high definition HD
maps which is essential resource that are required to be equipped within robotaxis as to provide
seamless experience to consumers. From the case study it has been identified that consumers are
facing concern towards safety, security, flexibility and cost in terms of self driving cars.
Mobileye is also facing competition from other rivals like BMW, Nissan, Tesla etc. In this it is
essential for company to effectively understand the information and features that which is needed
for maps in order to support a decision making. Company by also undertaking the opportunity of
their merger with Intel then can attract their potential consumers those who are transportation
authority’s, road operators etc. With the help of taking advantage of responsibilities, sensitivity
safety and agreeing upon common standard for safety Mobileye can collaborate on defining
safety standards and can assure success in industry. This will also help them to overcome the
challenge of consumer concern. It is essential for Mobileye to undertake advantage of
technological reviewed to achieve the vision and fulfill their vision of self driving system. With
the help of Mobileye strategy and taking advantage of consumer behaviour theory organization
can significantly understand the consumer willingness to pay which will help them to represent a
nearer term opportunity. There are different type of technologies such as self driving system
software mobile intelligence platform and services which will help organization to overcome the
challenges and provide seamless experience to consumers. However the biggest challenge is
associated to government regulation in which it is essential for Mobileye to exploring the
regulators and implement strategies to fulfill the criteria. With the help of robotaxi fit with the
evolution ofAV technology emphasising upon self-driving system (SDS) organization can assure
success. Furthermore company is also needed to undertake advantage of competitors approach
analysis value chain analysis to determine strength and weaknesses as well as consumers
perception models. It has been underlined that the current position that company is facing is
associated to the challenge of regulatory concerns and consumer perception towards flexibility,
cost safety and intensity of competition from other rivals. In this with the help of taking use of
acquisition by Intel opportunity company can take advantage of opportunity that Intel is
providing for autonomous driving that helps to make real time driving decisions. With the help
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of this opportunity company can take advantage of bringing best automotive great computer
vision and can work together to provide low cost options to consumers this merger will also help
company to overcome the challenge of high definition HD maps. In addition to this it has been
underlined that the Mobileye is also facing the current issue of additional barrier to consumer
adoption. In this with help of consumer behaviour theory in terms of respective industry towards
self driving cars Mobileye can significantly determine their concern and can further influence
their decision making. Companies is also in the current position of technical challenges in which
it is essential for them to attract the engineering talent and hire talented and potential intelligence
those who can autonomy themselves. Thus from the above analysis it has been identified that
there are certain challenges that company is facing and they are in the current position that can
impact their vision. In this with the help of taking advantage of consumer behaviour theory
principles taking advantage of value chain business model company can significantly overcome
these challenges and can bring the opportunity into practice to satisfy customers effectively
while overcoming there concerns in a well defined and effective manner. In addition to this with
the help of taking advantage of merger opportunity with Intel organization can not only assure
success but can also enhance satisfaction level of consumers. This will significantly help them to
gain profitability in industry and will also help them to overcome the challenges with the
application of significant strategies.
Proposed solution to problem
From the literature review analysis it has been identified that Mobileye is facing major
challenges in terms of consumer attitude or behaviour towards robotaxi, technological challenges
another form of issues in terms of regulatory from government authorities. In this company can
significantly take advantage of their opportunity of merger with Intel in order to significantly
overcome these challenges ( Rigg and Pande, 2021). With the help of this merger CEO of
Mobileye can fulfil their vision to build a leading position in ADAS) and can further add more
sophisticated software as well as hardware to assure success. Intel offers critical foundational
technology for autonomous driving which include real time driving decision, strong momentum
with auto makers and suppliers etc. This will help organization to overcome the challenges of
Mobileye is also recommended to overcome the additional barriers to consumer attention with
the help of emphasising a fan consumer behaviour theory this will help them to understand their
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viewpoint and perception in effective manner and which will allow company to influence their
decision and embrace them towards self driving vehicles. of Mobileye is also recommended to
take advantage of significant technologies such as radar- radio detection and ranging, cameras
etc in order to enhance success. Company is also recommended to make improvement in
technology in significantly address regulatory challenges and build high definition map. This
will help them to successfully influence consumer behaviour towards full self driving system or
vehicles. With the help of enabling technologies organization can provide more opportunities for
consumers to make investment in self driving vehicle. In addition to this organization with the
help of making investments in road experiment management, AV maps and responsibility
sensitive safety can collaborate on defining safety standards. This will help them to influence
consumers effectively. Company is also recommended to significantly overcome the competition
that they are facing from other rivals like general motors, Tesla etc. These are big disruptors in
auto industry. In this with the help of taking advantage of merger with Intel and making
investments in AV technology with evolution by offering low cost mapping in wide area will
help organization to assure success. It is essential for organization to effectively emphasise upon
all these strategies technological solution in order to serve meets and demands of consumers.
There are number of alternative solutions such as investing in advanced technology strategic
alliance with competitors and utilise merger with Intel to gain competitiveness from among these
the best face solution. To overcome all the challenges is using Intel resources technologies to
overcome the challenges and gain higher competitiveness in industry with the help of cost
effective approach and provide seamless experience to consumer. It is recommended to company
to take opportunity of Intel merger and invest in technologies to assure success. In addition to
this organization is also recommended to take advantage of consumers behaviour theory in order
to analyse their perception and further implement strategies to influence them. The limitation of
the study is that it is conducted on only one company case study which is not a big player as
compared to Tesla in market. This limits the scope of research however for further research on
one of major players and wide area will help in conducting research in more effectively. Along
with this the other limitation of the study is time that can further conduct with the help of proper
time management strategies.
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REFERENCES
Books and Journals
Candela, E., Feng, Y., Angeloudis, P. and Demiris, Y., 2021. Quantitative Risk Indices for
Autonomous Vehicle Training Systems. arXiv preprint arXiv:2104.12945.
Emory, K., Douma, F. and Cao, J., 2022. Autonomous vehicle policies with equity implications:
Patterns and gaps. Transportation Research Interdisciplinary Perspectives, 13,
p.100521.
Hamid, U.Z.A. and Al-Turjman, F., 2021. Introductory Chapter: A Brief Overview of
Autonomous, Connected, Electric and Shared (ACES) Vehicles as the Future of
Mobility. Towards Connected and Autonomous Vehicle Highways, pp.3-8.
Hawke, J., Badrinarayanan, V. and Kendall, A., 2021. Reimagining an autonomous
vehicle. arXiv preprint arXiv:2108.05805.
Kavitha, D. and Ravikumar, S., 2021. Designing an IoT based autonomous vehicle meant for
detecting speed bumps and lanes on roads. Journal of Ambient Intelligence and
Humanized Computing, 12(7), pp.7417-7426.
Nikitas, A., Vitel, A.E. and Cotet, C., 2021. Autonomous vehicles and employment: An urban
futures revolution or catastrophe?. Cities, 114, p.103203.
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Riggs, W. and Pande, A., 2021. Gaps and Opportunities in Accessibility Policy for Autonomous
Vehicles.
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