Apple's ambitious electric vehicle project, codenamed Titan, has hit another roadblock with reports suggesting a delayed release to at least 2028. This marks a significant setback in Apple's prolonged quest to bring a partially autonomous electric vehicle to consumers, according to a recent Bloomberg report.
Initially targeting a 2026 release, Apple has opted to simplify its electric car design. The company is now working on a more limited feature set, stepping back from its earlier plans, including an autonomous vehicle without traditional controls like pedals or a steering wheel.
The revised plan involves developing the electric vehicle with a "Level 2+" system, capable of autonomous lane centering and adaptive cruise control simultaneously. This represents a downgrade from the previously envisioned Level 4 technology, which could autonomously drive the car under specific circumstances.
These adjustments in Apple's electric vehicle strategy were reportedly made after discussions involving the company's board, CEO Tim Cook, and project head Kevin Lynch throughout 2023. The board, seeking updates on the project's progress, prompted the decision to pivot and simplify the features.
The development of the Apple Car, underway since 2014, has faced multiple challenges, resulting in strategy changes and delays. Official details about the car's name, specifications, and development have been scarce over the past decade, maintaining a level of secrecy characteristic of Apple's product launches.
Despite the lack of detailed information, it's evident that Apple has invested substantial resources in the car project. Bloomberg reports suggest annual expenditures of hundreds of millions of dollars, accompanied by rounds of layoffs and strategic shifts. As of late 2022, the car's design was still pre-prototype.
From a financial perspective, Apple's stock has seen a positive trajectory, trading at around $194.96, up more than 38% in the last year. This comes after the stock was valued at around $140 a share in January of the previous year.
However, venturing into the electric vehicle market puts Apple in direct competition with established automakers such as Tesla, Ford, GMC, and Rivian. Notably, Amazon has invested over $1.3 billion in Rivian. Industry leaders, including Ford CEO Jim Farley and Tesla CEO Elon Musk, have recently expressed skepticism regarding the profitability and safety of fully autonomous vehicles.
Tesla, a key player in the electric vehicle space, currently offers self-driving features like autosteer on city streets and the ability to come to stops with driver supervision. However, achieving full vehicle autonomy, according to Tesla, is contingent on surpassing human drivers' reliability and obtaining regulatory approval.
In conclusion, Apple's journey into the electric vehicle market continues to be marked by challenges, delays, and strategic shifts. The evolving landscape of autonomous vehicles and the competitive market pose significant hurdles for the tech giant, emphasizing the complexities involved in bringing a groundbreaking product to fruition.