Why Apple's Killed The Apple Car

Why Apple's Killing The Apple Car.

10 years ago, Apple thought this was a good idea. They had an extra $30 billion dollars in cash after the surprising success of the iPhone product line. So looking for ways to spend the money fast, they found Tesla. At the time it was a new ish car company valued at around $30 billion dollars.

So Apple talks to Elon Musk about buying Tesla. But they decide they didn't want to take a risk with a company on the verge of bankruptcy. Apple would be better off on their own. So Apple approves a $1 billion dollar a year R&D budget for a car.

And now 10 years later Apple's made a harsh discovery.
The Apple car had to retail at around $100,000 dollars. Which seems like a lot, but would make a razor thin profit margin compared to Apple's other products. They have better options, that's

Sources: https://www.nytimes.com/2024/02/28/technology/behind-the-apple-car-dead https://companiesmarketcap.com/apple/cash-on-hand/ https://companiesmarketcap.com/tesla/marketcap/ https://www.businessinsider.com/apple-layoffs-tim-cook-getting-serious-challenges-car-china-iphone-2024-4