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Intel has now made the significant move in its bid to dominate the self-driving vehicle competition. The world's leading chip-maker has entered an agreement to buy Mobileye, a tech company that specializes in software for self-driving vehicles, for a record-setting $15.3 billion in the Israeli tech industry.

Mobileye has been at the forefront of software development for autonomous driving technology. The Daily Mail reports that the Mobileye has contracts with 27 automobile manufacturers. They have developed technology like advanced cruise control systems and automatic emergency braking that is widely used in the auto and truck industries. This makes Intel an instant market leader.

The entry of Intel in the autonomous car market with the Mobileye purchase is more than just a calculated move. Engadget touts this industry as the hottest in tech at the moment where almost every car and tech company has a project on this technology. There are Google and Chrysler, the Volvo-Uber partnership, General Motors and Lyft, and Ford has even purchased a tech company of its own to bolster the development of their software. 

This is the latest partnership for Mobileye after they had a falling out with Tesla after an accident killed the driver of the vehicle they were working on. Intel, on the other hand, aims to improve their presence in the "internet of things market". There has been the lukewarm response to these kinds of devices though and Intel is also suffering from the decline of the PC market thanks mostly to mobile devices.

Intel will pay a premium price of $63.54 for every share of Mobileye but the deal still has to be approved by the boards of both companies. The partnership between Intel and Mobileye already has developed a prototype that has a system that involves cameras and sensors.