LiDAR, which works like RADAR except with laser light, is essential for autonomous cars as it enables the vehicles to accurately gauge their distance from surrounding obstacles. The problem is that, until recently, LiDAR units were insanely expensive to produce en masse. The LiDAR units installed on the first generation of Google's self-driving cars cost around $75,000. Thankfully, they're only about a tenth of that price today and Infineon's deal is expected to drive that price even lower -- down to a few hundred bucks each.