Self-driving tech company Mobileye announced on Monday the cancellation of R&D of its next-generation frequency modulated continuous wave (FMCW) lidars (light detection and ranging) for use in autonomous and highly automated driving systems.
The Israeli firm, acquired in 2017 for $15.3 billion by Intel, says the decision is based on regular review of its long-term technology roadmap:
“This decision was based on a variety of factors, including substantial progress on our EyeQ6-based computer vision perception, increased clarity on the performance of our internally developed imaging radar, and continued better-than-expected cost reductions in third-party time-of-flight lidar units.”
The decision will cut roughly 100 jobs by the end of this year. Operating expenses for the lidar R&D unit are expected to total approximately $60 million in 2024.
Mobileye says the change will not impact any of its customer product programs or product development in general. “It also has no bearing on Mobileye’s commitment to the development of our in-house imaging radar, which is meeting performance specifications based on B-samples and is expected to enter production next year, on schedule,” said the company.
The imaging radar, an application of radar technology, is now the strategic priority of Mobileye’s internal sensor development: “This is a core building-block technology that we expect to drive competitive advantage for Mobileye-based eyes-off systems in cost/performance optimization and scalability.”
Mobileye was Tesla’s supplier in the early Autopilot era. Tesla Model S and Model X running “hardware 1” were equipped with Israeli technology; however, the cooperation was short-lived, lasting around two years between 2014 and 2016 before a public fallout.
While Mobileye kept developing lidar-based solutions, Tesla moved to camera-only systems a long time ago, as its CEO Elon Musk repeatedly claimed cameras are sufficient as a source of information for its self-driving features.
The latest cut in the workforce is Mobileye’s second of 2024. As Reuters reported, the company announced in March the end of its aftermarket solutions unit that provides retrofitted advanced driver assistance technology.
Intel is now even looking to sell a part of its majority stake in Mobileye, says the agency citing recent Bloomberg News report.