Apple in Talks to Revive ‘Apple Car’ Project with US Auto Startup

May 07, 2024 – Recently, supply chain rumors have emerged indicating that Apple is in discussions with a new car-making force in the United States to potentially revive its “Apple Car” project, which had previously been announced as suspended. This decision has garnered significant attention within the industry.

Currently, Rivian is rumored to be the frontrunner in negotiations with Apple. Despite facing financial constraints and being caught in the wave of layoffs, Rivian’s collaboration with Amazon remains intact, and reports suggest that its order visibility for the latter half of 2024 remains strong.

While the specifics of the partnership and its modalities remain undisclosed, it is known that Apple has invested over $10 billion in its automotive endeavors over the past decade. The project, which commenced in 2014, encountered numerous challenges in developing software and algorithms for self-driving cars, ultimately leading to its cessation.

Industry leaders have expressed mixed reactions to this news. Lei Jun, founder of Xiaomi, expressed shock at Apple’s decision, stating that he personally would never have made such a choice. On the contrary, Li Xiang, CEO of Ideal Automobile, believes that Apple’s decision to abandon car manufacturing and focus on artificial intelligence is a prudent strategic move, timed perfectly. However, Jia Yueting disagrees, arguing that Apple’s withdrawal from car manufacturing is a grave mistake. According to Jia, AI-powered electric vehicles represent the largest application scenario and carrier for AI technology, marking a significant gap in Apple’s AI ecosystem that could potentially hinder its ability to vertically integrate the automotive ecosystem using AI.

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