Tesla under threat from Apple Car? Not anytime soon as Apple slams brakes on Hyundai deal

Apple Car not due soon as Apple retreats from Hyundai deal – for now

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(Image credit: Getty)

Information around the cryptic Apple Car has hit fever-pitch in recent weeks, but it’s now on hold, according to new comments.

Reports now suggest Apple is pushing deals at not just one, but multiple Japanese auto firms that would see the firms lined up under a linear labor model, an approach that has been wildly successful for Apple’s iPhone 12iPhone 12 Pro, and iPhone 12 Pro Max. This horizontal approach to its supply chain has successfully churned out the latest iPad models, including the Apple iPad Air (2020), en masse to customers but under significant strain to suppliers.  

It’s frustrating news for those who were hoping for confirmation of Apple’s take on the automobile following a host of retracted comments and rumors that pointed to a model. That said, we tend to think that any publicity around its products – true or untrue – is grist to Apple's mill. 

Talks with Kia to handle manufacturing have now stalled, defying reports that a deal between the two could’ve been struck as early as March (via Bloomberg). Apple had reportedly been eyeing up an eye-watering $3.6 billion investment in Hyundai-owned Kia before subsequently restraining from the rumors 

The Japanese news site, Nikkei, reports Apple is actually in talks with multiple Japanese car manufacturers over the Apple Car. It could be a double-edged sword for suppliers that risk being swallowed by Apple’s notoriously demanding supply chain, even demoted to the role of sub-contractor. 

Apple is likely to outsource to multiple third parties if it ever develops an Apple Car; therefore, automakers are uncertain about what role they would play long term in what will, undoubtedly, be an enormous project.

Of course, the Cupertino-giant has been historically pegged to many rumors around the autonomous automobile through the Project Titan alias, which would lavish fans with all the bells and whistles of an Apple consumer product, but in a chassis. This is bolstered by the recent hire of Porsche’s Vice President of Chassis Development, Dr Manfred Harrer, who analysts see as a sign of Apple’s ambitions in cars. 

If you're already feeling the tinges of the looming cost of such a vehicle, you're not alone. In the interim, you can keep an all-seeing eye on your prized motor with T3's best dash cam of 2021, ever more vital to rendering crisp images of the world outside of your car when on the road.

As is usually the case, there's more to these reports than initially unveiled. The problems in inking a deal seem to lie in the exact details manufacturers will play in the longer-term scope of the project. As this would be Apple's first foray into cars, it's paramount for automakers to map this out before agreeing on a deal. For now, the project rolls onwards.

Source: 9to5mac

Luke Wilson
Luke Wilson

Luke covers all things tech at T3. Disc golf enthusiast, keen jogger, and fond of all things outdoors (when not indoors messing around with gadgets)