Intel Corp.

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Mobileye, Intel, BMW Attack Google and Tesla

Mobileye, Intel, and BMW Take on Tesla and Alphabet in Self-Driving Race

In a rather stunning move, Intel Corporation (NASDAQ:INTC), together with Mobileye NV (NYSE:MBLY) and BMW have joined forces to create a totally self-driving car by 2021.

Self-driving Cars
The news broke a couple of days ago and the surprise is not the technology, but rather the technology companies that are involved. Self-driving cars have famously been pursued by Tesla Motors (NASDAQ:TSLA) and Alphabet Inc. (NASDAQ:GOOGL).

The competing companies go about it in different ways -- Tesla Motors is actually manufacturing the cars and teaming up with NVIDIA Corporation (NASDAQ:NVDA) to make the brains as well. Alphabet has been building the brains with apparently no interest in the actual manufacturing of a vehicle.

But the Intel Corporation collaboration with BMW using Mobileye NV as a part of the brains behind the self-driving car is a new entry.

Self-Driving Car Market
The markets for cars with driverless features and those that are fully autonomous show staggering growth potential. Here are a couple of charts. First, this is the market for cars with driverless features:

While that market will become enormous in the shorter-term, the real crown jewel is the fully autonomous self-driving car. This is a technology that will shake the world as we know it, much like the light bulb or the personal computer. This goes beyond a convince and will get as far as literally changing the real estate market landscape.

Just imagine living three hours away from work but being able to sleep those hours as your car quietly gets you there. The impact on society will be incredibly disruptive, for better and likely for a little worse. Here are the projections for the market for fully autonomous self-driving cars.

Competition Heats Up
Intel Corporation (NASDAQ:INTC) has long been forgotten as a tech innovator. It has found its way back out of potentially devastating earnings losses as the cloud business has picked up the slack in the dying personal computer business. The story for Mobileye NV (NYSE:MBLY) is a bit different.

While Mobileye touts its technology as state of the art, the company has its detractors. In fact, it was called out as "the short of the year" by Citron Research. For now, with the imprimatur of BMW and Intel, Mobileye finds itself in fantastic company.

The Intel, Mobileye, BMW self-driving car is tagged to arrive in the year 2021, likely behind Alphabet Inc. (NASDAQ:GOOGL), Apple Inc. (NASDAQ:AAPL) and Tesla Motors (NASDAQ:TSLA). But nonetheless, a new dream team has arrived. Welcome to the game Intel and Mobileye. The apparent dream team of Apple and BMW is off the table, but a new one has been formed.

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