Intel is set to acquire Moovit for reportedly $1 billion. The Israeli company has developed a public transport and mobility journey planner app. The acquisition should not come as a surprise since Intel Capital, the venture capital arm of Intel, is one of the shareholders in Moovit. Amnon Shashua, the founder of CEO of Mobileye, which Intel acquired for $15.3 billion in 2017, sits on the board of directors of Moovit.

Israeli business daily Globes reported details of the possible acquisition first. The report also highlights that the deal has not yet been finalized. Moovit was founded in 2011 and Globes reports that it has raised $134 million so far. The urban mobility company has shareholders including Gemini, the Barkat brothers, BMW, Vintage, Sequoia and Waze founder Uri Levin. Levin also serves as chairman of the company.

Intel looking to acquire Moovit

In February 2018, Intel Capital invested in the $50 million financing round of Moovit. At the time, cofounder and CEO Nir Erez said, “Moovit expects to surpass 1 billion users by 2021 and to significantly expand the number of cities that use Moovit’s data analytics to improve urban mobility. We are especially thrilled about our plans to collaborate with Mobileye. It’s a synergistic relationship at an exciting time to be shaping the future of urban mobility.”

If Intel goes ahead with the acquisition of Moovit, it will be the second major acquisition for the chipmaker in recent months in Israel. The Santa Clara, California headquarter semiconductor company had purchased chipmaker Habana Labs for $2 billion at the end of 2019. Intel said at the time of purchase that Habana Labs will remain an independent business unit and will be led by its current management team.

The acquisition of Moovit will help Intel strengthen its automated driving initiative. Intel is already in the driver’s seat with its Mobileye acquisition and the company is expected to become a backbone for the chipmaker’s future. With Moovit, Intel will also have a large amount of public transit data and analytics. This could be clubbed with mobileye to innovate transit experience with automated driving and management systems.

Go to Source

Leave a Reply

Your email address will not be published.