Photographer: Brent Lewin / Bloomberg
Photographer: Brent Lewin / Bloomberg
Apple Inc. had discussions with Hyundai Motor Co. and Kia Motors Corp. about building an electric vehicle, although talks have recently broken down, according to people familiar with the situation.
Apple has also discussed similar plans with other automakers, people said. They asked not to be identified discussing private issues.
The secret project has intensified in recent months. It has the potential to claim the automotive industry and its supply chain in a similar way to Apple’s reinvention of the consumer devices market.
Apple declined to comment. In January, Hyundai, which holds a controlling stake in Kia, dropped a statement saying it was in talks with Apple.
This announcement and other discussion reports have upset Apple, which has kept development projects secret for years and controls relations with suppliers with relentless efficiency.
It is unclear whether – or when – talks between Apple and Hyundai could resume. There are only a handful of global automakers with the ability and capacity to mass-produce vehicles, and it’s unclear how many of them would be interested in working with Apple.
There are other hooks. One is a dispute within the Hyundai group over which of its two brands, Hyundai or Kia, could end up making a car for Apple, said one of the people familiar with the situation. If talks resume, Kia is considered more likely and is trying to build an Apple car at its factory in Georgia, the person said.
A key question for the industry is how serious Apple is in terms of takeover Tesla Inc., General Motors Co. and other electric vehicle manufacturers and if it needs a well-known manufacturer to be able to launch its own product.
The Cupertino, California-based company has a small team of engineers developing drive systems as well as designers, but with development work in an early stage, any launch is unlikely to happen for another five years. years. This suggests that Apple has more time to decide on potential partners in the automotive industry.
Read more: Apple’s self-driving electric car is at least half a decade away
– With the assistance of Chester Dawson and Gabrielle Coppola