Askume, Sept 9 – Self-driving technology company Mobileye (MBLY.O) said on Monday it will stop developing a sensor technology that helps detect objects and their distance due to an uncertain demand environment.
Mobileye said the decision to end internal development of its next-generation frequency-modulated continuous wave (FMCW) lidar will not impact any customer product plans or overall product development.
The company will shut down its research and development department dedicated to light detection and ranging, known as lidar, by the end of 2024, affecting about 100 employees. As of December 30, 2023, Mobileye had 3,700 employees worldwide.
The operating expenses of Liangda’s R&D unit are expected to be about US$60 million by 2024, the company said.
Mobileye said, “This decision is based on a number of factors, including substantial advances in our EyeQ6-based computer vision perception and clarity improvements in the performance of our internally developed imaging radar.”
The company said continued better-than-expected cost reductions in third-party time-of-flight lidar units also contributed to the decision to discontinue in-house FMCW lidar development.
Mobileye said it does not expect the unit’s closure to have a significant impact on the company’s results in 2024. The company last month said it had been planning to cut costs in China due to fluctuating demand for driver-assist chips.had cut its annual revenue and profit forecasts.
In March, the company said it would shut down its aftermarket solutions unit, which provides customized advanced driver-assistance technology, affecting about 130 employees.
Mobileye will continue to develop its in-house imaging radar and expects it to enter production next year, the company said.
Last week, Bloomberg News reported that chip maker Intel (INTC.O) is looking to sell part of its stake in Mobileye .
