Mobileye to Buy Israeli Startup Mentee Robotics for $900M

Self-driving car firm Mobileye has made a massive acquisition that signals where AI is heading next.

The company announced it will acquire humanoid robotics startup Mentee Robotics for $900 million, marking one of the largest humanoid robot deals in history.

Mobileye will pay $612 million in cash plus 26.2 million shares, representing a 455% premium over Mentee’s $162 million valuation from 10 months ago. The deal is expected to close in the first quarter of 2026.

Dynamic duo

The timing is good as interest in humanoid robotics surges, driven by the potential for human-like robots to adapt to existing warehouses, factories, and complex settings.

The deal also looks decent as Mobileye offers navigation on roads, while Mentee provides robots navigating indoor spaces with dexterity.

The hidden connection

Plot twist: the connection between these companies runs deeper than most realize. Amnon Shashua, who serves as Mobileye’s CEO, is also the co-founder and co-CEO of Mentee Robotics. Since founding in 2022, Mentee has achieved progress in four years.

The startup’s edge lies in its approach: proprietary hardware including custom actuators, precision motor drivers, and hot-swappable batteries. But the ‘magic’ happens in software, where Mentee’s platform combines in-house hardware and software design with an AI architecture built around human-to-robot mentoring and few-shot learning.

Major players have been quietly backing this technology: Cisco and Samsung’s venture capital arms recognized its potential long before the announcement.

Taking on Tesla

The acquisition positions Mobileye to compete directly with Tesla, where CEO Elon Musk expects humanoid robots will become the company’s largest business long-term. But Mobileye isn’t waiting around—first proof-of-concept deployments with customers are planned for 2026, with full commercialization targeted for 2028.

The combined entity brings financial firepower to the fight. Mobileye’s revenue pipeline is estimated at $24.5 billion over the next eight years—up more than 40% since January 2023—providing the resources needed to accelerate humanoid robot development.

Mentee will continue operating as an independent unit within Mobileye, maintaining its startup agility while gaining access to massive production capabilities. The robots are engineered for real-world usefulness and adaptability, designed to work alongside humans rather than replace them entirely.

The race

The acquisition signals that the convergence of autonomous vehicles and humanoid robotics isn’t just theoretical—it’s happening now, backed by nearly a billion dollars in investment. With Tesla, Figure AI, Agility Robotics, and Chinese startups all racing to develop versatile two-legged robots, Mobileye’s bold move could accelerate the entire industry timeline.

The transaction, approved by both Mobileye’s board and Intel (it acquired Mobileye for $15.3 billion in 2017), represents more than just an acquisition—it’s a bet that physical AI will define the next decade of technology innovation.

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