As part of a major restructuring, Intel may sell some of its shares in Mobileye, an Israeli developer of self-driving systems, to improve its financial performance. As Bloomberg reports, we may be talking about selling an 88% stake on the public market or to interested investors. The issue will be decided this month in New York at a meeting of Mobileye’s board of directors.
Selling its stake in Mobileye could prove challenging for Intel. Mobileye shares have fallen 71% since the beginning of the year, and the company’s market value has fallen to $10.2 billion. Mobileye is losing money for the third year in a row, faced with falling demand for its products amid lower vehicle production volumes.
The ongoing discussions surrounding Mobileye are part of Intel’s broader discussions with consultants about ways to improve its financial performance and overcome the difficult situation the company finds itself in for the first time in its 56 years of existence. According to Bloomberg, Intel is exploring various strategies, including the possibility of mergers and acquisitions. In particular, Intel is deciding the fate of the NEX division. The business, which makes chips for networking and peripheral solutions, has also struggled, with revenue falling by nearly a third last year to about $5.8 billion.
The company has not yet made a final decision on either Mobileye or NEX, sources emphasize. “We remain relentlessly focused on creating shareholder value and executing on the plan we shared last month to accelerate earnings growth and create a leaner, simpler and more flexible business model for the future,” an Intel spokesperson said in response to a Bloomberg inquiry.
Image Source: Mediatonic Among the available formats are team deathmatch, every man for himself, and…
Seasonic has released the PRIME PX-2200 2200 W power supply. The new product was first…
The ability of modern automation to control vehicles without human intervention is limited by a…
GPUs, originally created for creating three-dimensional images, have performed well in the field of accelerating…
South Korean electronics maker Samsung Display plans to invest $1.8 billion this year to build…
More and more users are complaining about problems with the responsiveness of the iPhone 16…