Intel Corporation (INTC) Earnings Call Transcript & Summary

Okay. The final session for today and we are ending with a good one. This next gentleman may have flown from far, but you're going to have to give him a homely welcome. The reason for that, you may not hear it in his accent, but he actually has Bavarian roots. The gentleman's ancestry comes from right here in Bavaria. He was actually raised on family farms in rural Pennsylvania, which seems to contradict with the incredible role that he has today. He had a high score at the Lincoln Tech electronics technology test, which meant he had an early admission. And so by the age of 18, he started working at Intel. By the age of 18, I wasn't doing very much. At the age of 32, he was named the youngest VP ever in Intel history. He became the first CTO leading key technology developments if you think about WiFi, USB, Intel Core, Intel Xeon and so much more. He's got patents on his name. He's got 8 grandkids. He loves reading, he cycles, the fundraises, all around great human being. And so I want you to give a warm Bavarian [ IAA ] mobility welcome to the CEO of Intel. Ladies and gentlemen, it's Pat. [Presentation]

From AV to the stage in seconds, isn't this great. Wow, a Mobileye AV ride never gets old, Welcome. Good to talk, [Foreign Language] It is truly a pleasure to be with you in Munich today. What a beautiful city. But I'd start out by asking the question, why is a semiconductor guy on stage at the biggest and most important mobility car show on earth? Why did you invite me to your stage? Why is a semiconductor geek doing here anyway? Well, simply put, cars are turning into computers with wheels. As Dan said in the introduction, I'm a farm kid, right? I grew up in the farm country of Pennsylvania. And the cockpit of a tractor doesn't look quite like the tractors I was driving when I was a kid. You know, they look more like video games now. And tractors, right, are becoming very sophisticated and we're seeing technology permeate every aspect of automotive, agriculture, transportation. I became CEO of Intel about 6 months ago. So other than turning around an icon, doing it in the middle of a global pandemic and in the middle of a global semiconductor shortage, we have no challenges. What a task in front of us. And the world is well underway in tackling the global semiconductor shortage, but it has shown the criticality of semiconductors and the impact to the global supply chain and the fragility, right, of the supply chain. And we'll talk more about that today. And in that, the question is, how can Intel help? Well, we can help build more chips. We can help establish a more flexible design environment. We can help establish more resilient globally available forces. We can ease the burden as we simultaneously help you do great amazing things. And we believe at our core that we are about technology as a force for good. Technology itself is neutral. It's neither good nor bad. It's how we shape it as technologists and as society. And for this, AV is a great start. It helps first with safety, security, building a more resilient environment for the flow of goods and more efficiency in how people are transported. But it also means new technology standards, things that we do all the time, that needs to be regulated and integrated into society. But also creating new business models as well that we are enabling. And all of these together are unique things that we think that Intel can help because the future of automotive and autonomy is the technology story. And Intel is the only company that can do the end-to-end technology platform, combine that with the depth and breadth of technology, help to modernize the supply chain. So I'm not a car guy, I'm a technology geek, but that's exactly what will help take mobility to the next level. As a company, our purpose is to build world-changing technologies that improves the life of every human on the planet. And I have the great privilege as CEO to marshal the energies of 114,000 passionate, innovative technologists, right, that are out to create these world-changing technologies that will influence every aspect of the way we live, the way we play, the way we work, the way we care for others, the way we live in society together, the way we learn. Because digitization is affecting every aspect of human existence. And underneath that, as we would say, there are these superpowers, as I like to call them. We used to think of superpowers like nation states, now they're technologies. And these 4 superpowers, where compute is becoming pervasive to everything, whether it's our lives now in our virtual remote place -- workplaces or our virtual learning, right, or in every light switch and every car. They're becoming filled with computing capabilities. Pervasive connectivity and having Cristiano up here before me. Today, we're at about 60% of humanity as a persistent connection to the Internet. By 2030, that's estimated to be 90%, over 7 billion people that are connected. And it's not just people, but increasingly, it's things that are connected as well. And that we have this cloud to intelligent edge infrastructure. And with the cloud, we can rent the largest supercomputer that's ever been built. And with edge, we can scale that capacity with high bandwidth, low latency to the edge as well. And finally, AI. We now have enough compute, enough data that 30 years ago, 35 years ago, when AI was invented, right, what happened? Nothing. And then the data got big enough. The algorithms got better, the compute got big enough. And now AI is able to bring intelligence to everything. And not only are each of these 4 superpowers in their own right, but taken together, they are accelerating each other. The more connectivity needs more compute, which creates more data, which makes the AI better, which needs larger clouds, which then enable better AI. So we see them each accelerating so that today is the fastest day of tech evolution of your life. It's also the slowest day of tech evolution of the rest of your life. They're causing this acceleration. And simply put, cars benefiting from all 4 of these superpowers are becoming computers with tires. And how much technology? This is an analysis that we've done and most of the analysis don't stretch how far enough. So we've had to do some of our own, you know, interpretation of data and forecast. But if you look at the premium sector of cars, we see these 2 massive transformations going on, the EV transformation as well as the AV transformation. These 2 driven by semiconductors. Today, a premium car, about 4% to the bill of materials is semiconductors. Estimates by 2030, 20% of the bill of materials of the car. And you were worried about the semiconductor shortage today, 5x increase, an explosion in the amount of semiconductors that we have in the automobile. Semis become central to every aspect of innovation and the supply chain for cars. So as important as it is today, you ain't seen nothing yet. But also autos are becoming important to semiconductors, right? And today, we see $50 billion or so of the automotive TAM that explodes to $115 billion by 2030. So not only are we becoming important to you, you're becoming really important to the semiconductor industry as well as your percentage of the total semiconductor market grows to be over 11% by 2030. So I'll go back to my first question, why is the semi guy at the automotive show? We're important to you and you're important to us. That's why I'm here giving this keynote now. We need you and you need us. This is a symbiotic future that we are off innovating and supplying as the automobile becomes a computer with tires. Intel is so excited about the opportunities that we have in the automotive sector, but we wanted to give you a little bit more glimpse of what we do. And maybe just if we could roll the video now, just an inside view of what it looks like to go into one of our fabs. If we could play the video? [Presentation]

We're thrilled by the position that we've been able to develop over the last 30 years as we've invested in advanced manufacturing. We've helped to build a vibrant ecosystem of capabilities, where many of the innovations supporting key European industries. As you saw in the video, healthcare, auto, 5G, Industry 4.0 and many of the equipment and capabilities are European companies. In the 30 years since Ireland, Intel Ireland began, we've invested EUR 18 billion by the end of this year. But the terrible situation in EU in the semiconductor industry needs to be highlighted as well. In 1990, Europe represented 44% of the worldwide semiconductor industry. Today, 9%. So Europe has gone from manufacturing the world supply, 44%, almost half of the global supply to just 9% today and continuing to decline. And it's something that is urgently critical to every aspect of a digital future, all of it running on semiconductors. You're on the verge of losing control of one of the most important technologies for the economy, for the national security of Europe as well. And COVID has shown that a globally balanced supply chain is absolutely critical. We can't have unique and narrow dependencies, particularly in geopolitically unstable zones as well. And with the EU, we share in the goal to see that decline reversed and a goal, by 2030, of 20% of global supply in Europe. And we're enthused to be part of that and we want to do our part in helping build back the European semiconductor industry. And as part of that we're expanding in the Ireland facility, that you just saw on the video. But we've also committed to announce our next major, mega fab location in Europe, and we hope to have this announced before the end of this year, in Europe, right, where we build 2 new leading edge fabs. And those 2 would start a mega site that would grow, over time, over the next decade or so, to 8 fabs. Each fab is approximately EUR 10 billion. So a total project of EUR 80 billion over the next decade or so that would be a catalyst. A catalyst for the semiconductor industry, for the supply chains, for the chemicals, many equipment vendors that come into it, but a catalyst for the entire technology industry. High performance computing, quantum computing, research and AI capabilities. A center for R&D that brings together Europe to reverse this terrible decline, create a more globally balanced supply chain and create a center of R&D and technology innovation in Europe for Europe. We've seen that this has a ripple effect, that for every job we create, MIT estimates somewhere greater than 5 jobs is created as a result. And our estimates are many times up to 10 jobs. And these are great jobs. These are advanced jobs. These are also manufacturing jobs. These are also construction jobs, and teachers and restaurant workers, entire communities get built. It's also integrating with the European ecosystem, companies like iMac, Fraunhofer and Leddy for advanced research. Key supply chains like ASML, ZEISS, optics, chemicals, robotics in these advanced facilities, catalyst for the industry. Tech clusters, sorry about that, grow up around these centers as well. A powerful catalyst to help revive, not just Europe semiconductors but Europe technology leadership in the world. I'm also excited today to announce our Intel Foundry Services. In March of this year I announced IDM 2.0 that we are foundering our products but we are also opening wide the doors of Intel to be a foundry for others' products as well. Today, we're announcing the European foundry services at Intel 16 and other nodes out of our Ireland facility, and we believe this has an opportunity to help expedite the end to the supply shortage. And we're engaging with auto and other industries to help build on those capabilities. But I'd also say some might argue, well, let's go build, most of those auto chips are on old nodes. Don't we need some old fabs for old nodes? Do we want to invest in our past or do we want to invest in the future? A new fab takes 4 or 5 years to build and have production worthy. Not an option to solve today's crisis, invest in the future, don't invest backwards. Instead, we should be migrating old designs onto new, more modern nodes. Setting them up for increased supply and flexibility into the future. In addition to Intel Foundry Services for Europe, out of Ireland, our next megafab would also be a foundry for leading-edge capabilities in Europe. We're also announcing Intel Foundry Services Accelerator and this is to help accelerate those designs forward to help bring them to modern technologies. Taking advantage of advanced processing and packaging capabilities, Intel 16 and other nodes committed to manufacturing capacity in Europe, for Europe. Intel, our IP library is being opened up for our customers to innovate with. So your IP and our IP coming together for automotive-grade chips and processing and design services in Europe for European customers, automotive, supply chain, level 1, level 2 industry players to begin to address a European crisis today, solve it with leading-edge technologies in Europe for Europe. And as we've been discussing these strategies and plans, as you can see, we have strong industry support, statements endorsing the directions that we're describing. And we would just ask you, and many of you represent different industries, join us in the journey, in Europe for Europe, to accelerate, modernize the semiconductor and the technology industry. So why am I here? One reason is semiconductors. But the second reason is the work that we're doing in the automotive industry as well. When I left Intel 11 years ago, as I described, I was -- went on an 11-year vacation, I moved to EMC as President and then became CEO of VMware, coming back to VMware 6 months or so ago. And while I was gone, they did this little acquisition of Mobileye. And when I came back, I was sort of like, what's a Mobileye? And I've been thrilled to learn of the extraordinary asset that Intel had added to its family, right, with the 2017 acquisition of Mobileye. And you'll be hearing more from them today, but you'll be hearing from Professor Amnon Shashua, who's filled me in and described and I've been engaging with customers and partners. And today, we have Mobileye technology for safety, an autonomous solution being used by 29 automakers across the industry, more than 88 million cars are on the road today that are leveraging their technology. And I bet you most of your cars, if you have any kind of advanced collision detection or safety system, it's probably using Mobileye already. But a lot of cars don't have advanced detection and collision avoidance system. And how many of you have ever driven in India? Yes. What a place. I see a -- and I remember the first time I'm in India, in Delhi, and the car pulls up at a major intersection. And I believe every form of transportation since the time of Christ was represented at that intersection. You got rickshaws and bicycles and oxcarts and everything else. What a crazy place to drive. And we also see that India is one of the least penetrated markets for many of these safety technologies. In fact, 17 accident-related deaths per hour, 1 death every 3.5 minutes. India represents 1% of the cars of the world, 11% of the traffic-related deaths in the world. Simply put, we have a problem. And we believe that there's a tremendous opportunity to address safety issues by bringing our technologies into that market. And we see that ADAS features can be adopted. They're now cost-effective. They're broadly deployed. They need to be trained uniquely for some of the requirements. So a rickshaw isn't quite seen in the Munich streets, right, when you go there? There's a few things that we need to learn and train. But with Mahindra & Mahindra, we're excited to be bringing the first cars that are adopted with advanced ADAS capabilities to the Indian marketplace. And we have an image of the Mahindra's beautiful, affordable SUV now being launched with Mobileye inside. It's cost effective for the Indian price-sensitive market, but game changing for the market as well. An example of how Mobileye has industry-leading driver assistance, but we believe deeply that it isn't just the massive innovations that Mobileye is doing, but it's also the mass market deployment. It has to be deployable at scale. And this, to us, we believe, is the center of what we're out to accomplish that we're able to do these 2 things, radical innovations with at scale deployment of technology. But what about tomorrow? We have this obligation to continue to innovate with technology, not for the few but for the many. Can we continue to improve safety, autonomy capabilities, accessibility for everyone? And of course, the answer to that is, yes. That's why we're here. And the Mobileye approach is really unique in that capacity, innovate and scale. We're going to walk you through a bit of that scale strategy today. We have some exciting announcements. But right now, what we want to do is take you to the Mobileye booth because we're going to unveil the next-generation platform. And I'm happy to have my colleague, JJ, who's in the booth now and let's zoom over there at the moment then take a look at our next-generation Mobileye vehicle right now. So JJ.

Hi, Pat. Hi, everyone. I'm so thrilled and excited to unveil for the first time ever today as world premier, the Mobileye robotaxi. This is the first production grade, fully electric, self-driving vehicle by Mobileye, and it is capable of SAE Level 4 full autonomous driving. Moovit AV is our new driverless mobility services brand. And as you can see, we have painted the vehicle in orange and put the services brand on it so that people know that they need to download the Moovit app in order to get access to these new driverless mobility services. And the vehicle looks just like a regular vehicle. Let's take a look at the beautiful integration of our Mobileye drive self-driving system. All sensors are beautifully integrated. And several of them are in our sleek organic design, [ manta ray ] roof unit. Now let's walk around the vehicle and take a look under the hood. As you can see, massive luggage space for our riders. And here, this is the brain. This is actually the technology what makes this all works. This is the Level 4 ECU, automotive grade with all the redundancy, everything that is needed, and it's fully developed and designed by Mobileye from the IQ SOCs to the hardware and to the software. The future is here. I hope that you are as thrilled and as excited actually to make people's lives better with future mobility services based on autonomous vehicles. Pat, back to you.

Hey, thanks, JJ. Love the color, love the car. Seeing the integration, right, of the radar, the LiDAR, right, the small form factor, able to easily fit it into the car design. And I encourage all of you to take a look at it on the show car, a truly elegant design. Now also, as I mentioned, Amnon Shashua, the incredible leader of Mobileye. A professor, an entrepreneur and someone who's committed to this idea of out of the garage and on to the streets. And what I'd like you to do now is hear from Amnon and the great work that the Mobileye team is doing today and their vision for the future. If we could hear from him now.

Thank you, Pat. I really wish I could be here today. As you mentioned, autonomous driving really has the potential to revolutionize almost every aspect of our life. But in fact, no one knows how the future industry will unfold. Is it going to be a robotaxi that will rule the streets of cities? Or will it be consumer level autonomous vehicles that will be the dominant stream? Again, no one has the answer for that today, but with our unique strategy and technological assets, Mobileye is positioned to win both -- both camps. With that in mind, let me walk you through the main building blocks of our technology. Now the first pillar of our technology is the sensing, the perception. So on the right, we have our integrated AV vehicle, which is going to be launched next year as a robotaxi service. Now this vehicle has 2 layers of sensors working independently from each other at the perception level. The first layer is cameras. There are 11 cameras around the car: front, rear and surround. Some of the cameras are behind the windscreen. Some of the cameras are in the body of the vehicle, the mirror and some of the cameras are on the top of module. The second layer is long-range LiDAR sensors, using our partner, Luminar, and short-range flash LiDARs as well on the body of the vehicle and a few radar sensors that provide the second layer. Now each layer performs independently. They do not rely on each other in order to get a redundant system. Now the ability to work independently with 2 subsystems has another advantage. And that advantage is to influence the evolution of driving assist. So on the left, we have Zeekr 001, which is a brand of Geely, going to be launched later this year, 2021. It has 11 cameras around the vehicle. Very high-resolution cameras, 8-megapixel cameras. It's well hidden in the vehicle. Some of it behind the windscreen, some in the -- 2 in the mirror, parking cameras on the rear fenders, a camera. So 11 cameras around the vehicle, both long range and parking, 2 powerful iQ5 chips powering all the perception of the system. And this provides a Level 2+, the ability to drive hands-free, but with the supervision of a driver that is continuously agile and continuously alert, but have the full functional scope from highways to arterial roads, to urban roads, all covered by the same technology, by the same subsystem of the camera subsystem and the car on my right, which is going to be a robotaxi system, a full Level 4 vehicle. So by moving along this spectrum of driving assist and Level 4 gives us a lot of flexibility on supporting the scale, economical scale and geographic scale of the system. Now our second core pillar of our AV is all about mapping. So we are using vehicles equipped with our ADAS systems at scale. So these driving assist systems are responsible of sending very low bandwidth data and to build maps on the cloud. And these maps are like gold. They let us drive anywhere in the world, but also tells us how humans actually drive. Most recently, we brought our AVs to New York City, one of the most challenging driving environments in the world. And we are driving in Detroit, Munich, Tokyo, China and soon Paris. All because we have a map that is produced and continuously updated at a very, very low cost using crowd-sourced capabilities. The scalability we get from our AV maps is really unparalleled. And last but not least is our responsibility sensitive safety-based driving policy. That driving policy supports fast scaling to all regions around the world with different driving cultures and give us the balance of safety and usefulness that we believe will make our AVs welcome on streets around the world, both in robotaxis and very soon on consumer AVs. Like you Pat, we share the dream of autonomy anywhere, anytime for everybody. And I'll turn it back to you now.

Thank you, Amnon. And maps are like gold. We've seen this scale strategy and this crowd sourcing of maps, the price points of the core technologies. And you just saw some of this in action. Yesterday, Schaeffler announced using Mobileye Drive to build an autonomous chassis. And this will become the basis of self-driving shuttles, goods delivery and other services. You just saw the Mobileye robotaxi and the same system that will be in consumer vehicles as well, both the robotaxis as well as consumer AV from the same architecture. Now that enables scale, all from common technologies and platform. But another thing is the driving policy. We have to balance traffic and consumer expectations with safety and security as well. AV also needs to be culturally aware. And people in Munich drive differently than those in Jerusalem or New York, in India or Tokyo. And each of these creates different requirements for how risk and responsibility are managed. And with that, we're excited about the Mobileye's responsibility sensitive safety driving policy. And we are working with the industry to help establish the standards and the standards bodies to help codify the way that people drive for computer-driven vehicles. Standards are needed to go from test vehicles to full driverless capabilities. And with that, it's my pleasure to bring out Jack Weast, one of the Intel fellows, to the stage. I'm an IEEE fellow myself, so I helped drive many of the standards in USB and WiFi and 802.11, and I know how important and critical this work is. And it's what we do as a company, help create the standards for the industry. Jack. It's great to have you join us on stage. So thank you.

Hello Pat. It's great to see you.

And Jack, tell us about some of this work and what's going on with this upcoming IEEE standard that you're driving?

Yes, it's really been quite the journey. In 2017, when we first introduced the responsibility sensitive safety model to the academic world, it introduced for the first time this notion that for an automated vehicle, driving safely is going to be a balance between safety and usefulness. Since that time, hundreds of researchers from around the world have published dozens of papers further exploring these concepts. And that's ultimately led to the creation of IEEE 2846, the world's first standard that will help industry answer this question of how safe is safe enough. It provides a framework for industry and government to come together to align on what does it mean for a machine to drive safely. Intel is honored to be leading with the standard with some of the biggest players in the space, you see here on the slide. And we've brought the largest collection of folks from across the automotive industry to work together on this important standard. The thing that RSS told us is that safety is not an absolute. Just like the safest human driver would be the one that never drives, the safest automated vehicle would be the one that never leaves the garage. Driving is a risky activity. Humans balance risk through the use of assumptions. When we're driving and there's a pedestrian on the sidewalk, we assume that pedestrian is going to stay on the sidewalk. If that pedestrian were in the roadway, we assume that, that pedestrian could move in any direction, and so we need to drive more cautiously. And so IEEE 2846 like RSS is the first of its kind to standardize what these assumptions are, so that an automated vehicle can drive safely, which is to say, drive at a societally acceptable risk balance.

So Jack, this idea of risk balance. What do you mean by that? And how is an autonomous vehicle going to weigh those risks? And is there mathematics and modeling behind that? How does that work?

Yes, but rather than listen to me talk about it, let's show you what this looks like in the real world. We've created a video that shows one of our own autonomous test vehicles using assumptions to balance risk and drive in a socially acceptable manner. Let's take a look at the video. [Presentation]

I love that. And it just really shows that example, right, of risk assessments and how to make that part of the modeling in the AV. But what's the role of governments in this as well? Because they play an important aspect of how safe is safe enough?

They do actually. And the funny thing is governments actually do this all the time. When a new road is built, a speed limit is selected. And that value represents acceptable risk for that roadway. And so just in that same way, we need that for machines. We need machines to understand what is reasonably foreseeable to expect about the behavior of other road users so we can set that balance between safety and usefulness.

Well, that's pretty cool. So what's next? Where are we going with this?

Well, what better place to start than right here in Germany, the country that's leading among the world with the establishment of a regulatory framework for the safe and scalable deployment of automated vehicles. With IEEE 2846 as our guide, we can select values for parameters that set expectation on how these vehicles should operate and what it means for them to drive safely.

And Germany was a leader in passing these laws recently. And yesterday, I had Hildegard Müller, the President of the VDA. She joined us on a drive yesterday, and it was really quite fun. This is part of her job, right, as she moves the industry forward and it really was great to see Germany as a first mover in this area.

That's really exciting. Pat. In June, you're right, Germany did pass the world's first regulatory framework for the safe and scalable deployment of automated vehicles. Importantly, it sets clear expectations on the roles and responsibilities of all the players deploying a Level 4 automated vehicle.

And it helps to really pave the way for a whole range of business models, mobility-as-a-service, cargo services, shuttles, buses, et cetera.

Yes, that's right. And we would love to be able to take this technology that we're deploying here in Germany and share it with all of Germany's neighbors. So we'd love to see these concepts deployed Europe-wide.

Well, Jack, thank you so much.

My pleasure.

It's great to have you join us and tremendous work that you're driving for us and for the industry.

Thank you, Pat.

Truly foundational for the industry and opening up new business models. And with that, it's my thrill to welcome Alexander Sixt, the Co-CEO of SIXT. Everybody in Germany and Europe is aware of SIXT. And the SIXT Group is anonymous with mobility services here in Germany. And if you've rented a car, shared a car, subscribed to a car, yes, you're aware of SIXT. Please join me in welcoming Alexander to the stage. Alexander, another big announcement today, your new service that you're bringing, the robotaxi service, that we're partnering together. And it combines -- I just love the story of SIXT and your family and the 100 years of the company, but it's also a perfect technology partner for us as we bring autonomous services to mobility in the German market. And maybe you can tell us a little bit about the work and what you're doing to make this happen here in Germany?

Absolutely, Pat, and thank you very much for sharing the stage with me. It's -- by the way, I love the color of the car. That was a coincidence to be honest. Well, obviously, it's an honor and a privilege to be partnering with Intel and Mobileye on this super exciting project. It feels kind of special for me to stand here on this stage. Our company was founded some 100 years ago, just a couple of blocks from here. And my father who built up this company together with my mother. He is a true software enthusiast who actually wrote the first lines of code of SIXT himself in the early 1960s. So he always believed in the power of technology. And I feel, therefore, really, really humbled to stand here on this stage to continue his dream right here, right now by announcing this really exciting partnership to bring the first driverless robotaxi service to Germany. And thereby, letting our consumers experience the world of future mobility. And to be frank, I also believe this proves our continuous quest for technology leadership in our sector. By offering mobility services, I truly believe that this is the next big bang for our mobility platform, SIXT ONE, where already today, we offer more than 250,000 connected vehicles access to 1.5 million drivers and over 1,500 different mobility operators around the globe, all via one platform, all via one app. And I truly believe that this platform, this partnership we just announced today. And obviously, our continuous partnership with OEMs, especially BMW. This proves really that the future of mobility is not only important to us, but we actually want to make it happen.

So sounds pretty exciting, but how are people going to take advantage of us? How are they going to hail one of these autonomous taxis?

That's a great question, Pat. I think to begin with Intel, Mobileye and SIXT, we plan to operate a fleet of 100% electric autonomous vehicles right here in Munich. I think our consumers can hail the autonomous vehicle by the SIXT app and the Moovit app.

Well, can we show them?

Absolutely. I've been dying to do so for a long time.

So let's play the video now. [Presentation]

So, arrived in the future. So I like that line. So when is it available? Tell us more.

I think that's a question everybody keeps on asking, but I think we intend to start with a pilot as early as next year. Obviously, commencing with an early rider program before we start our proper commercial operations after we get all the regulatory approvals.

Well, very good. And is this Munich only or...

I certainly hope not. I think the cooperation between Intel, Mobileye is truly a lighthouse project for Europe where we can showcase, first and foremost, Intel's and Mobileye's technical capabilities, but also ours. And I think this is the basis for further expansion in Germany, Europe and probably worldwide.

Well, thank you, Alexander. It truly is an honor to have you join me on stage. And the great work we're doing together. Thank you, so much.

Thank you so much, Pat. Enjoy.

And I, for one, am excited to hail my first SIXT autonomous vehicle next time I'm here in Germany. Today has been a great day for us. Why is Intel here? We're here to help. We are here to help address the current crisis in the semiconductor industry. We are here to help build new foundry services in Europe for Europe. We're helping to build key new technologies for the automotive industry. We are here to help establish the key security standards that will enable broad deployment in Munich, in Germany and across Europe and the world. We're here excited to show off our latest innovations with Mobileye. We're thrilled by the partnerships that we have with SIXT as we bring this. Our industry is excited to bring forward these technologies in consumer as well as robotaxis for the marketplace. It's our opportunity to help write the future together. And on behalf of Intel, as the technology partner for the automotive industry, thank you. Thank you for letting me join the stage and talk about the great things that we do together. We need you, you need us and we are here to partner with you. With that, thank you so much, and back to you, Dan.

Thank you, Pat. What a perfect ending for today. The mobility stage opens first thing tomorrow morning. We have a futurist who's going to talk about where the future mobility should really go. We have some great conversations. So please come in bright and early, get a cup of coffee and meet me here, but for today, thank you so much. Have a good day. Take care. Bye-bye.