Thursday 27 October 2016
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Report: Apple Ditching Plans to Build Its Own Car, For Now

Report: Apple Ditching Plans to Build Its Own Car, For Now

Well we can’t say this is a complete surprise, but it certainly has to be unwelcome news for many people working on the Apple car project.

The world’s most powerful technology company is reportedly ditching its plans to build an Apple electric car to go up against Tesla. At least for now.  Instead, the company is now turning its focus to a self-driving platform and partnerships with automakers.

Apple Inc. has dramatically scaled back its automotive ambitions, leading to hundreds of job cuts and a new direction that, for now, no longer includes building its own car, according to people familiar with the project.

Automotive News

This news follows a lot of turmoil within Project TITAN since it launched in 2014. Namely, leadership changes and strategy disagreements.

In the end, it would seem that Apple’s executive team discovered just how difficult and different car building can be as opposed to building software for phones and computers. The products are very different to develop, source and build. In other words, building vehicles isn’t easy. Plus, as Automotive News points out, the financial net margins are far different, too.

All this said, the iPhone giant’s new strategy shift is to focus on an underlying autonomous driving system that will allow it to partner up with existing carmakers.  Apple’s car team has until late 2017 to make something happen, according to Automotive News sources. The Silicon Valley giant declined to respond to that report.

The interesting thing will be to see whether Apple changes its mind at some point in the future, as that’s not entirely out of the realm of possibility. But at least for now, Apple’s decided to go with what it does best and that’s work with technology not actual car parts.

Editorial Copyright: Songquan Deng/