Redeye thinks yesterday’s deal between Seeing Machines and Magna will grant Seeing Machines a certain minimum market share going forward but that the deal also caps Seeing Machines’ upside potential to around 35%. This is considerably lower than the market share that the company has aimed for. Hence, Redeye thinks the exclusivity agreement is not coherent with what a company aiming for market leadership would do. The 9.9% ownership from Magna is also likely to reduce Seeing Machines’ chances of winning contracts with other tier-1 suppliers, as they would then indirectly sponsor their direct competitor. Redeye reiterates its valuation range.