Mobileye Moves Into Autonomous Ride-Hailing Market
Mobileye (NASDAQ:MBLY) shares gained 5% on Tuesday after the autonomous driving specialist revealed plans to build and operate its own robotaxi business.
The company said it intends to expand beyond its traditional role as a supplier of self-driving technology by launching a fully integrated autonomous ride-hailing operation, with the first service expected to debut in a U.S. city in 2027.
Initial Fleet Deployment Planned for 2027
As part of the initiative, Mobileye aims to deploy an initial fleet of approximately 100 autonomous vehicles in a major metropolitan area in the United States.
The rollout is expected to take place gradually throughout 2027 under fully driverless operating conditions.
Following the launch phase, the company plans an aggressive expansion strategy that could increase the fleet to roughly 17,000 vehicles over the subsequent five years.
New Venture Complements Existing Business
Mobileye emphasized that the robotaxi operation will complement rather than replace its current business model.
The company remains focused on supplying its Mobileye Drive autonomous driving platform to automotive manufacturers and mobility service providers around the world.
Management said the new business creates an additional avenue for growth while allowing Mobileye to showcase its technology in a real-world commercial environment.
Moovit Platform to Play Central Role
The robotaxi network will combine Mobileye Drive with technologies from Moovit, the mobility platform acquired by the company.
The integrated offering will include consumer-facing applications, multimodal route planning, autonomous vehicle mission control systems and fleet management capabilities.
By bringing these technologies together, Mobileye aims to create a comprehensive end-to-end transportation platform for autonomous ride-hailing services.
Broad Industry Partnerships Planned
To support the rollout, Mobileye intends to collaborate with a range of industry partners, including manufacturers of autonomous vehicle-ready platforms, fleet operators, vehicle integration specialists and technology providers.
These partnerships are expected to help deliver the infrastructure and operational capabilities required to support large-scale autonomous transportation services.
Strong Existing User Base Provides Foundation
The company enters the robotaxi market with a significant installed base and global reach.
According to Mobileye, its technology has been incorporated into more than 230 million vehicles produced worldwide.
Meanwhile, Moovit’s mobility platform serves more than 1.7 billion users across over 3,500 cities in 112 countries, providing Mobileye with extensive transportation data and user engagement that could support the expansion of its autonomous ride-hailing ambitions.