CNBC: Apple and Hyundai nearing Apple Car deal, first version will

‘not be designed to have a driver’

Following an earlier report today from the Korean newspaper DongA,

CNBC now corroborates the partnership between Apple and Hyundai/Kia
Motors. According to the new report, both companies are close to finalizing
a big deal that will lead to the manufacture of the long-rumored “Apple Car.”

Last month, Hyundai Motor confirmed that the company was in talks with
Apple, although it did not reveal the reasons behind it. At that time, rumors
suggested that Kia Motors - which is owned by Hyundai - would help Apple
manufacture the first Apple Car.

A new report from CNBC says the Apple Car will be manufactured at a Kia
facility in West Point, Georgia. Apple and Hyundai are close to sealing a
deal, which could be worth about $3.6 billion, according to a Korean
newspaper. If the rumors are right, the production of Apple’s first electric
vehicle will begin in 2024.

However, while Hyundai is Apple’s primary partner in building the Apple

Car, the Cupertino-based company is also negotiating with other
automakers according to sources.

“The so-called ‘Apple Car,’ which is being developed by a team at

Apple, is tentatively scheduled to go into production in 2024, though
people familiar with the talks between Apple and Hyundai-Kia say the
eventual rollout could be pushed back. […] In addition, they stress
that Apple may ultimately decide to partner with another automaker
separately or in addition to working with Hyundai.”

Interestingly, the report claims that the first electric vehicle with the Apple
brand will be totally autonomous. A CNBC source familiar with the matter
said that the “Apple Cars will not be designed to have a driver.” As the
report points out, a car not made for drivers could be initially targeted for
car-riding or delivery companies instead of regular consumers.

“These will be autonomous, electric vehicles designed to operate

without a driver and focused on the last mile.” That could mean Apple
Cars, at least initially, could focus on package food delivery
operations and firms incorporating robotaxis.”
Having a completely autonomous car, although not impossible, seems to
be an extremely ambitious plan - especially if we consider the schedule for
a launch in 3-4 years.

The first rumors about Apple Car date back to 2015. Apple has since been
hiring car engineers and acquiring startups related to the electric car
business. However, the company has never discussed its plans to build a
new car in public.