Mobileye Global (MBLY) Canaccord Genuity 44th Annual Growth Conference & Private Company Showcase 2024 summary

Recent business performance and challenges

• Near-term challenges in the ADAS business due to global production declines and market share losses, especially in China.

• Tariffs and geopolitical issues are reducing opportunities in North America and Europe.

• Reduced orders from Chinese OEMs have led to a significant reduction in EyeQ business guidance.

• Despite headwinds, other business segments remain strong.

• Incremental safety testing requirements in 3-4 years are creating opportunities for next-gen ADAS systems.

Product and technology developments

• EyeQ6-based platform offers scalable technology from basic to advanced ADAS, improving performance and customer value.

• EyeQ6 samples are now in front of customers, showing significant technological advancements over EyeQ5.

• New segmentation includes emerging market ADAS, base ADAS, SuperVision/Chauffeur, and Surround ADAS.

• Surround ADAS leverages additional sensors for enhanced safety and convenience features.

• EyeQ6 version for emerging markets launches mid-next year, targeting low $30s price and 70% gross margin.

Market segmentation and strategy

• High-end SuperVision and Chauffeur systems target aspirational brands and price points.

• Base ADAS systems dominate mainstream brands, with increasing feature requirements.

• Emerging market ADAS aims to balance price and performance for regions like Latin America and South Asia.

• Surround ADAS expected to grow rapidly, potentially matching current ADAS volumes.

• New competitors in China offer lower-priced systems, creating pricing pressure.