Mobileye Enters Robotics with $900M Acquisition of Mentee
The autonomous driving leader will acquire humanoid robotics startup Mentee Robotics, signaling a major strategic expansion beyond the automotive sector.
Mobileye Global Inc. (Nasdaq: MBLY) is stepping out of the car and into the factory, announcing a definitive agreement to acquire humanoid robotics startup Mentee Robotics for approximately $900 million. The move marks a significant strategic pivot for the Jerusalem-based leader in autonomous driving technology, signaling its ambition to become a dominant force in the burgeoning field of 'Physical AI.'
Investors reacted positively to the news, sending Mobileye shares up nearly 6% to $12.18 in Tuesday trading. The deal, announced at the CES technology conference in Las Vegas, consists of approximately $612 million in cash and about 26.2 million shares of Mobileye's Class A common stock. The acquisition is expected to close in the first quarter of 2026.
The transaction is a bold diversification for Mobileye, a company renowned for its sophisticated computer vision and advanced driver-assistance systems (ADAS) that are integral to millions of vehicles worldwide. By acquiring Mentee, Mobileye is making a calculated bet that the same core technologies—sensing, perception, and context-aware decision-making—can be redeployed to power general-purpose robots capable of working alongside humans.
"This acquisition is a strategic move to accelerate our leadership in the physical AI domain," a company spokesperson commented on the deal. The combination aims to pair Mobileye’s prowess in AI and mass-production with Mentee's novel robotics platform, which focuses on a 'simulation-first' training approach. According to the company's official press release, this allows robots to learn complex tasks from human demonstrations in a virtual environment, drastically reducing the need for extensive real-world data collection and programming.
The deal has a notable layer of internal synergy, as Mobileye’s President and CEO, Professor Amnon Shashua, is also a co-founder of Mentee Robotics. This deep-seated connection suggests a long-term strategic alignment and a shared vision for the convergence of autonomous systems.
Mentee Robotics, which unveiled its Menteebot V3.0 in early 2025, has developed a system designed for industrial and logistics applications. Its robots are capable of lifting loads up to 25 kilograms and utilize a hot-swappable battery system for continuous operation. The company’s approach is designed to create robots that can be mentored by humans using natural language and gestures, enabling a rapid and intuitive adoption of new skills.
The acquisition places Mobileye in direct competition with a growing list of high-profile technology firms vying for a piece of the humanoid robotics market, including Tesla with its Optimus robot, Agility Robotics, and the well-backed Figure AI. This emerging industry aims to address labor shortages, enhance productivity, and automate tasks in environments from warehouses to manufacturing floors.
With a market capitalization now standing at over $9.1 billion, Mobileye is leveraging its established scale to accelerate Mentee’s path to market. The company is targeting initial on-site proof-of-concept deployments with customers in 2026, with a goal of achieving series production and widespread commercialization by 2028. This aggressive timeline underscores Mobileye's confidence in the synergies between vehicle autonomy and robotics.
Even with the stock's recent pop, Mobileye shares are trading well below their 52-week high of $22.51, reflecting a challenging period for the automotive tech sector. However, Wall Street remains broadly optimistic, with a consensus analyst price target of over $18, suggesting this strategic expansion could be a key catalyst for future growth.