Apple agrees to have Hyundai make Apple Car for it

Apple and Hyundai plan to conclude an Apple Car manufacturing deal in March 2021, Reuters reports. This means that the companies did come to an agreement, although earlier representatives of the Korean automaker noted that Apple has several potential partners, and Hyundai is only one of them. Subsequently, the Koreans removed the mention of the American company from their publication altogether, apparently at the insistence of the latter, which, however, did not prevent Hyundai from taking advantage of this.

Apple agreed with Hyundai to manufacture Apple Car

According to Reuters, the production of a test copy of the Apple Car at Hyundai facilities will begin early next year, and mass production is scheduled for 2024. Despite the fact that at the moment an agreement on cooperation between the companies has not yet been officially concluded, this is a pure formality.

Therefore, the Korean carmaker can already be considered the manufacturing partner of Apple, responsible for the release of Apple Car. But even if the deadline moves – and this is likely, given Apple’s scrupulousness – such cooperation will be mutually beneficial for both parties.

Apple Car от Hyundai

This is how Hyundai’s share price has changed since the partnership with Apple was announced

Hyundai began to see the benefits almost immediately after its announcement of a potential partnership with Apple tweeted. The Korean automaker’s shares jumped nearly 20%, helping to boost its market capitalization by $ 8 billion. Then the value of Hyundai stock corrected slightly, but remained higher than before the publication of plans to jointly produce Apple Car.

Apple will most likely fail to make money on a new partner quickly, but in a long project it promises to be very profitable. Firstly, if Cupertino staked on Hyundai, it means that the management of the automaker turned out to be more accommodating than others. This is very important for Apple, as it intends to directly participate in the development, testing and mass production of the potentially most popular electric cars.

Secondly, Hyundai has extensive manufacturing facilities in the United States and an established supply chain, which means that Apple will not have to build complex logistics schemes and ship future cars to another continent when mass production begins. This will allow you to save a lot and assign a more affordable price to the electric car.

When will Apple Car come out

Apple could enter the electric car market and take over it while it has no competitors other than Tesla

To be honest, it’s hard to believe that Apple Car mass production will begin as early as 2024. Still, industry experts who can be trusted suggest a decade-end orientation. Therefore, it is possible that mass production of prototypes is planned for 2024, which will be tested for several more years. But be that as it may, most likely, the release of Apple Car is inevitable. In the end, the electric car niche has not really been taken over by anyone, except Tesla, which has quite a few problems, and it would be cool if Apple solved them.

Tesla Model 3 problems

Tesla has a lot of problems, but that doesn’t stop it from being the most popular electric car

Mikhail Korolev, founder of AppleInsider.ru, is the owner of Tesla Model 3 – subscribe. Despite the fact that, according to him, this is the best car of those that he had, he admits that the electric car has many shortcomings. This is a crooked build with poor fit, and regular software problems that prevent certain features from being used. For example, it was recently discovered that the Model 3 stopped recuperating energy during braking and began to alert about a punctured wheel, although this was not the case.

It is obvious that Apple, with its scrupulousness, can correct all the shortcomings characteristic of modern electric cars and make this segment of cars massive. True, here the company faces a dilemma: to release an electric car as early as possible in order to occupy a niche while it has a minimum of competitors, or to wait until the end of the decade, when technologies will become much cheaper, making Apple Car more affordable than it could cost today.