Photo: Concept Creator/LetsGoDigital
The Apple Car is all but confirmed now, and while the Cupertino-based iPhone maker is working hard to find a partner to manufacture the vehicle, everybody expects Apple to make its debut in the automotive industry in 2024 or 2025.
And Citi analyst Jim Suva too believes Apple would launch the Apple Car after 2023, explaining the company’s investments in the automotive industry could propel its market valuation beyond the $3 trillion threshold.
Apple shares dropped slightly on Friday to $119.83, bringing the company’s market capitalization to approximately $2 trillion.
Suva, however, believes Apple’s first steps in the car world could take place in two different ways: the company could either launch its very own EV or continue investing big in systems like CarPlay that could eventually be used by traditional carmakers on their own models.
However, Apple is more likely to build its own Apple Car, the analyst says.
“There is likely a much more material impact to Apple from making a car via outsourced production rather than just focusing solely on the IT ecosystem,” he says in an investor note. “We think such an entry would likely be beyond 2023 given the long lead time for automobile production. But, Apple’s due diligence in this area could cause automotive OEMs to increase adoption of Apple’s CarPlay in the near term.”
The analyst has also shared a list of innovations Apple could use on the Apple Car when the EV is ready for mass production. Some of them, however, aren’t necessarily new to the car world, but Suva says they could help make the Apple Car one of the most advanced vehicles on the road.
For example, the analyst believes the Apple Car would be equipped with solar cells to charge the car, wireless device charging, pick-up notifications, hands-free food ordering, child safety detection, navigation projected on the windshield, and smart displays installed the car. In addition, the car could come with robo driving to service centers for maintenance, and notifications to family members for safety concerns and violations.
Many of these innovations, however, are based on patents recently filed by Apple, so right now, there’s absolutely no evidence these ideas would end up being used in an Apple Car.
Apple shares dropped slightly on Friday to $119.83, bringing the company’s market capitalization to approximately $2 trillion.
Suva, however, believes Apple’s first steps in the car world could take place in two different ways: the company could either launch its very own EV or continue investing big in systems like CarPlay that could eventually be used by traditional carmakers on their own models.
However, Apple is more likely to build its own Apple Car, the analyst says.
“There is likely a much more material impact to Apple from making a car via outsourced production rather than just focusing solely on the IT ecosystem,” he says in an investor note. “We think such an entry would likely be beyond 2023 given the long lead time for automobile production. But, Apple’s due diligence in this area could cause automotive OEMs to increase adoption of Apple’s CarPlay in the near term.”
The analyst has also shared a list of innovations Apple could use on the Apple Car when the EV is ready for mass production. Some of them, however, aren’t necessarily new to the car world, but Suva says they could help make the Apple Car one of the most advanced vehicles on the road.
For example, the analyst believes the Apple Car would be equipped with solar cells to charge the car, wireless device charging, pick-up notifications, hands-free food ordering, child safety detection, navigation projected on the windshield, and smart displays installed the car. In addition, the car could come with robo driving to service centers for maintenance, and notifications to family members for safety concerns and violations.
Many of these innovations, however, are based on patents recently filed by Apple, so right now, there’s absolutely no evidence these ideas would end up being used in an Apple Car.
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