Apple Car Seen as Money-Making Machine Able to Generate $50 Billion in Revenue

While Apple is trying to remain tight-lipped on everything related to the Apple Car, industry sources have repeatedly confirmed the project, with people close to the matter now expecting the EV to launch in 2024 or 2025.
Apple is expected to step in the car business in 2024 1 photo
In an investor note sent this week, Piper Sandler analyst Harsh Kumar says he expects the Apple Car to enter mass production and make its market debut in 2024, with the Cupertino-based tech firm to initially manufacture only 100,000 units.

Despite this limited-series production, the Apple Car is still expected to generate about $5 billion in revenue with only 0.1 percent of the market, the analyst is quoted as saying.

This is impressive, to say the least, but the analyst expects the production, demand, and sales of the Apple Car to skyrocket in the next years before eventually reaching 1 percent market penetration by 2023 and thus generate no less than $50 billion in revenue.

Kumar says there’s a good chance Apple would end up working with a third-party company that’ll be in charge of the manufacturing process, as the Cupertino-based company doesn’t typically assemble its devices.

According to recent reports, Apple has given up on talks with Hyundai after the South Koreans spilled the beans on the project. The firm has also reached out to Nissan, but the Japanese refused to manufacture the Apple Car due to branding divisions. Now Apple is believed to be looking into a series of other partners that could include Renault, BMW, Magna, and others.

The analyst believes one of the differentiating factors of the Apple Car as compared to vehicles produced by other rivals would be the full focus on technology. Still, for the time being, it’s not exactly clear how Apple wants to make its model stand out from the rest of the crowd.

Sources familiar with the matter previously said Apple was expected to pick a company for the manufacturing of the Apple Car by the end of this year.


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