Yesterday, it was reported/rumored that Apple is abandoning its decade-long Apple Automotive undertaking and transferring a number of the undertaking’s group to synthetic expertise tasks. Now analyst Gene Munster says Apple has to make an enormous transfer after cancelling the Apple Automotive, and that purchasing Rivian could be the reply.
The Sellers Analysis Group (that’s me) disagrees. I by no means thought Apple coming into the electrical/autonomous car market was a smart thought. I really feel that such a transfer would stretch the corporate too skinny. I feel Apple ought to focus all its efforts on its present line of {hardware}, software program and streaming merchandise/providers as a substitute.
Nonetheless, Munster informed CNBC that Apple’s a tech firm, and tech corporations by definition must develop, and that’s the $400 billion query that they’ve.” Requested by CNBC host Brian Sullivan whether or not Apple can buy an current EV producer, Munster mentioned that purchasing Rivian is “doable.”
“And I feel it does line up, Apple might do that, and I feel that that will get them into that greater market,” he mentioned. “I’m disenchanted that this flip in occasions, and so I don’t wish to be predicting that they’re going to finally do one thing like this. However I do suppose Apple wants to interrupt into some new market, they should do one thing huge, and doubtlessly Rivian could be simply the reply to that.”
Apparently, two members of the Apple Automotive group departed this yr to affix Rivian. DJ Novotney left to change into senior vice chairman of the corporate, which makes electrical SUVs and pickup vehicles. Jonas Reinke additionally joined Rivian in January o assist launch the corporate’s new EV platforms.
