24/7 Wall St.

Mobileye N.V. (NYSE: MBLY) is making waves in the market on Friday after the company announced a partnership with BMW and Intel Corp. (NASDAQ: INTC) to help pioneer an autonomous driving vehicle. The companies are joining forces to make self-driving vehicles and future mobility concepts become a reality.

Ultimately, the companies are convinced that automated driving technologies will make travel safer and easier. The goal of the collaboration is to develop future-proofed solutions that enable the drivers to not only take their hands off the steering wheel, but reach the so called “eyes off” and ultimately the “mind off” level transforming the driver’s in-car time into leisure or work time.

This level of autonomy would enable the vehicle, on a technical level, to achieve the final stage of traveling “driver off” without a human driver inside. This establishes the opportunity for self-driving fleets by 2021 and lays the foundation for entirely new business models in a connected, mobile world.

The companies have agreed to a set of deliverables and milestones to deliver fully autonomous cars based on a common reference architecture. Near term, the companies will demonstrate an autonomous test drive with a highly automated driving (HAD) prototype. In 2017 the platform will extend to fleets with extended autonomous test drives.

Amon Shashua, Co-Founder, Chairman, and CTO of Mobileye, commented:

Mobileye is proud to contribute our expertise in sensing, localization, and driver policy to enable fully autonomous driving in this cooperation. The processing of sensing, like our capabilities to understand the driving scene through a single camera already, will be deployed on Mobileye’s latest system-on-chip, the EyeQ®5, and the collaborative development of fusion algorithms will be deployed on Intel computing platforms. In addition, Mobileye Road Experience Management (REM) technology will provide real-time precise localization and model the driving scene to essentially support fully autonomous driving.

Shares of Mobileye were last trading at $45.97, with a consensus analyst price target of $54.17 and a 52-week trading range of $23.57 to $64.48.

Intel shares were recently trading at $32.68. The stock has a consensus analyst price target of $35.43 and a 52-week trading range of $24.87 to $35.59.