Copyright © BusinessAMBE 2023

The Apple Car is dead. After a decade of research and billions of dollars of investment, Apple has decided to finally put away its plans for a self-driving electronic car. The team that worked on that project is largely being transferred to Apple's AI division.

In the news: Project Titan, as Apple's development of a self-driving car was called, has been struggling with setbacks for some time. Thus, the ambitions around it have been scaled back several times and the launch has been postponed several times. But now Apple's self-driving electric car ambitions are finally coming to an end.

  • Top executives Jeff Williams and Kevin Lynch, who were responsible for project Titan, according to news service Bloomberg informed its employees that the car team will be phased out.
  • Most of the 2,000 employees from Apple's car team will get the chance to be transferred to the team working on artificial intelligence (AI) developments. There will also be some layoffs.
  • Apple itself declined to comment on those reports. Their shares did shoot up slightly after the news.

Project Titan

Apple's plans around its own car originated in 2014. Initially, the company wanted to create an electric car that could drive fully autonomously and was voice-controlled. To do so, Apple pulled some high-ranking experts away from Tesla, among others. However, the project soon faced many setbacks.

  • Over the past few years, many of the key people involved in Project Titan within Apple left early, causing the company to change its plans on a regular basis, resulting in many delays.
  • Recently, it was revealed that Apple had significantly adjusted its ambitions. The company was no longer aiming for a fully autonomous car, but for a so-called Level 2+ system. This still requires drivers to pay attention to the road and intervene when necessary. The system is similar to Autopilot in a Tesla. The delivery date was also immediately adjusted from 2026 to 2028.
  • In recent weeks, however, it was decided to scrap those plans as well. Reason for this is the expectation that the market around electric cars will slack off somewhat in the coming period, something that Tesla and General Motors also warned about. Reason is mainly the lack of charging infrastructure in some places. In addition, the cost of developing a car has also risen, which would allow Apple to take virtually no profit margin on its Apple Car.
  • Finally, the company has also recently been focusing more and more on AI. Apple is reportedly investing millions of dollars a day in training an AI system called Ajax, which it plans to launch soon.

© The Content Exchange, source News