A modular offering and a choice of suppliers are not the same proposition. BMW’s January 4, 2017 partnership release described an architecture for other automotive developers and carmakers, with offerings ranging from integrated modules to a complete solution. For an automaker considering what to build internally, that range supplies the starting point for comparing the scope of a purchase. [bmw-testfleet]

Intel’s March 13 agreement to acquire Mobileye introduces a second dimension: corporate ownership of the contributors. Intel proposed combining Mobileye with its Automated Driving Group in an Israel-based organization led by Amnon Shashua. Conditional on closing, that would bring the two contributors into one organization. It does not, by itself, tell a buyer whether separately selected modules would remain commercially attractive. [intel-mobileye]

The technical connection was already explicit in January. Mobileye’s EyeQ5 was described as interpreting surrounding visual input and localization, with Intel CPU and FPGA technology joining it in the intended central computing platform. That is a concrete combination to examine. A buyer comparing a module purchase with a broader package should ask which interfaces support the proposed combination and which permit alternative components. [bmw-testfleet]

Our suggested comparison holds the desired vehicle function constant while listing an integrated purchase and a more selective purchase. Ask what engineering work each leaves with the automaker, what substitution is possible, and how commercial terms would differ under the proposed combined supplier. The releases identify offerings and intended ownership, not the answers. Treat easier coordination or increased dependence as possibilities to investigate, rather than measured savings or proven restrictions on competition. [bmw-testfleet][intel-mobileye]

Source documents

  1. Intel to Acquire Mobileyehttps://www.intc.com/news-events/press-releases/detail/243/intel-to-acquire-mobileye
  2. BMW Group, Intel and Mobileye will have autonomous test vehicles on the roads by the second half of 2017https://www.press.bmwgroup.com/global/article/detail/T0266961EN/bmw-group-intel-and-mobileye-will-have-autonomous-test-vehicles-on-the-roads-by-the-second-half-of-2017?language=en