To The Moon

•$30B+ market for autonomous car tech.

•AI-powered software for safety & navigation.

•$500M+ revenue, 50%+ gross margins.

•Partnerships with Mercedes-Benz, Toyota.

•$2B+ in contracts

 Next target.🎯 $25 then $30.

In a recent exclusive CNBC interview, Mobileye CEO Amnon Shashua discussed the company's strategic roadmap for autonomy, highlighting its competitive position against industry giants like Tesla and Waymo. Shashua emphasized Mobileye's unique approach, which integrates supervision technology requiring a human driver to monitor the vehicle, alongside its fully autonomous robotaxi initiative. 

Mobileye is currently trading at $20.03, reflecting an increase of 2.88% despite a challenging market environment yesterday. This marks a significant achievement for the company, as it has reached a five-month high, surpassing the $20 threshold. 

Mobileye's SuperVision technology allows for hands-free driving in complex urban environments, showcasing the company's commitment to safety and efficiency. The system employs a combination of cameras and radar, enabling it to navigate without human intervention in certain scenarios. Shashua pointed out that this dual approach not only enhances safety but also reduces costs compared to other autonomous driving solutions that rely heavily on expensive hardware like Lidar.

The CEO articulated a compelling argument that Mobileye's technology will ultimately be lower cost and higher quality than competitors. He noted that their current systems, including the upcoming chauffeur mode—which will offer Level 3 automation on highways—are designed to be economically viable while ensuring high safety standards. This strategy is crucial as Mobileye prepares to expand its offerings in partnership with major automotive manufacturers like Audi and Volkswagen.

At their first Capital Markets Day since the IPO, Mobileye showcased hands-free test drives of the Polestar 4, Zeekr, and the Robotaxi ID Buzz on complex urban roads in Munich, demonstrating the capabilities of their low-cost system powered by 11 cameras and front-facing radar. This system delivers hands-free driving with supervision, setting the stage for the next product, Chauffeur. Partnering with Audi, Chauffeur incorporates advanced sensors like lidar and imaging radar to enable Level 3 autonomy on highways.

Shashua highlighted Mobileye’s strategic collaboration with Volkswagen for the Robotaxi ID Buzz platform, which is already being tested in Munich, Hamburg, Austin, and more cities, with production slated for two years from now. These innovations, encompassing both hands-off Chauffeur systems and Robotaxi platforms, are poised to significantly outpace revenue from current driver-assistance systems (ADAS).

Shashua also provided insights into Mobileye's revenue projections, indicating that by the end of the decade, the company could potentially triple its revenue even under conservative growth assumptions. This growth is expected to stem from the increasing adoption of their supervision systems in key markets, particularly in collaboration with major OEMs.

Since the end of 2021, Zeekr has delivered more than 240,000 Zeekr 001 and Zeekr 009 vehicles, powered by the Mobileye SuperVision™ platform, to customers in China and globally. To be more responsive to the growing customer demands in China, the companies intend to accelerate the scaling and delivery of core underlying technologies for the Mobileye SuperVision platform.

Zeekr will be able to use the powerful road intelligence technologies for any of its vehicles. The expanded collaboration will enable Zeekr engineers to better utilize Mobileye's technologies and development tools to conduct validation of data and more efficiently deliver software upgrades to customers. Additionally, the collaboration will accelerate comprehensive automated driving solutions roll-out for other Mobileye customers in China.

Zeekr plans to expand the installation of the Super Vision platform on additional vehicles, including next-generation platforms, and further increase the highway and urban coverage of its existing Navigation Zeekr Pact (NZP) systems. To date, highway NZP based on SuperVision is active in more than 150 cities across China. 

As Mobileye continues to innovate and refine its technology, it positions itself not just as a player in the advanced driver assistance systems (ADAS) market but as a leader in the transition toward fully autonomous vehicles. With plans for robotaxi deployments already underway in cities like Munich and Austin, the company is poised to capitalize on the burgeoning demand for autonomous mobility solutions.

The big question for investors now is how rapidly adoption across countries and OEMs will translate into the anticipated revenue spike. Mobileye’s strategic roadmap and partnerships hint at a transformative decade ahead for autonomous driving technology.

 Amnon Shashua said in recent earning call that "RFQ volumes are very high. We are currently already responding to 4 RFQs representing over 19 million future units supported with a single EyeQ6 High with pricing that is approximately 4 times our current ASP and with similar gross margins to the company average. To put this value into context, the life revenue value of these RFQs from just 4 OEMS is already about double the value of all the combined ADAS RFQs we're currently pursuing with more than 70 OEMs. On SuperVision and Chauffeur specifically, we have made substantial progress across many predevelopment engagements and we believe we are on track for major design wins by year-e 2024, with a strong pipeline of more to come in 2025."

$Mobileye Global Inc.(MBLY)$ 

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