Intel-Mobileye deal a great source of pride for Israel, PM says

The $15 billion deal between American chip giant Intel and Israeli driver-assistance technology developer Mobileye is a source of pride for Israel, Prime Minister Benjamin Netanyahu said Monday.

The deal is the biggest sale in the history of Israel's high-tech industry.

When the deal is finalized by the end of the year, it will yield considerable profits for Mobileye's co-founders: Professor Amnon Shashua, who owns 7.5% of the company's shares, stands to make $1.2 billion, and Ziv Aviram, who owns 7%, is expected to make $1 billion.

Dr. Shmuel Harlap, who with 7% is the primary private shareholder in the company, will also make around $1 billion, while hundreds of Mobileye employees will enjoy stock options worth hundreds of millions of dollars.

The prime minister called Aviram to congratulate him on the deal.

"This is a source of pride for Israel. The deal dramatically proves that the vision we are leading is being realized. Israel is becoming a global technology center, not just in cyber but in the automotive sector as well," Netanyahu said.

According to the Prime Minister's Office, Aviram told Netanyahu that Mobileye plans to maintain its operations and build a global development center in Israel, and that it will be responsible for Intel's international activity regarding autonomous vehicles.

President Reuven Rivlin also spoke with the company's executives.

"Congratulations to Mobileye and to all of us. I've congratulated the company's founders on the deal, which is a source of Israeli pride," he said.

Finance Minister Moshe Kahlon also spoke with Aviram.

"This deal is a great expression of confidence in Israel and Israeli economy. The best news we could get is that the IP [intellectual property] will remain in Israel," he said.

Speaking with Israel Hayom, Kahlon said, "After several conversations I had with the heads of Mobileye and Intel, there is no doubt that the decision to keep Mobileye's operations in Israel is the result of our tax reforms in the latest budget. I have no doubt this is only the beginning -- other giant companies will choose to keep their operations in Israel and more companies will choose to move their operations to Israel."

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