Intel will pay $63.54 a share in cash for the Israeli company, which develops "autonomous driving" systems. Mobileye and Intel are already working together, along with German carmaker BMW, to put 40 test vehicles on the road in the second half of this year. Intel expects the driverless market to be worth as much as $70bn by 2030. Jerusalem-based Mobileye has contracts with 27 car makers. It also controls about two thirds of the market for software that runs automatic emergency braking and semi-autonomous cruise control systems already fitted to cars and trucks. Technology companies are racing to launch driverless cars. Earlier this month, Nissan test drove a converted Leaf vehicle and said it hoped to make the cars available by 2020.