Apple is currently working on a new invention, an electric car called, Titan. Challenges are not far to occur in a company which is first time in manufacturing cars. Some of which is the effort of putting up more money to support and pursue the invention and the capacity to compete in the automotive industry. Nevertheless, the company has been working on the new product's feasibility for more than a year now with a hope of releasing it in 2019.
In a video of CNBC, Bob Lutz, former GM and BMW executive, commented regarding Apple's creation of iCar. He said, "The automobile business, at best, is a very low-margin business." It means that Apple is not an expert in making cars and by entering in an automotive industry, the company may not be able to produce high quality electric cars. He also added, "If I were a shareholder, I'd be very upset." This is due to having no experience in car-making, Apple may spend more money to ensure a good product. Lutz even referred to the project as "a gigantic money pit," according to the video.
On the other hand, The Wall Street Journal mentioned that Apple targets 2019 for the unveiling of its first electric car. The team is consists of more than 600- persons who have been committedly working on the new project for more than a year now. To ensure the product's feasibility, Apple met with two groups of Californian government officials and hired experts in driverless cars, report said.
More so, IU4 News said that Apple wants to spread its business into automotive industry as the company sees it as a great opportunity for expansion. Just like with Tesla which started from junk and now is successful in designing and manufacturing electric vehicles.
Previous reports noted that such comments are not new to Apple whenever it produces new products in the public. Apple's commitment in making new project may depict an application of its expertise in terms of hardware and software.
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