Potential partnership between Apple and Hyundai is discussed
In the first week of January, 2021, several media reported that Apple, the world’s most valuable company, discussed a potential partnership with Hyundai Motor Company, the South Korean largest automobile manufacturer, to manufacture a driverless electric vehicle. Hyundai mentioned the discussion is the early-stage talk so that there is no clear decision between companies. However, since the end of 2020, several rumors related to Apple’s potential entry to the EV market have been shown. Therefore, the IT giant possibly takes some actions to enter the market in the near future.
Who is Apple, Inc.?
Based on CNN Business, the company profile of Apple is described as follows.
Apple, Inc. engages in the design, manufacture, and sale of smartphones, personal computers, tablets, wearables and accessories, and other variety of related services. It operates through the following geographical segments: Americas, Europe, Greater China, Japan, and Rest of Asia Pacific. The Americas segment includes North and South America. The Europe segment consists of European countries, as well as India, the Middle East, and Africa. The Greater China segment comprises of China, Hong Kong, and Taiwan. The Rest of Asia Pacific segment includes Australia and Asian countries.
Its products and services include iPhone, Mac, iPad, AirPods, Apple TV, Apple Watch, Beats products, Apple Care, iCloud, digital content stores, streaming, and licensing services. The company was founded by Steven Paul Jobs, Ronald Gerald Wayne, and Stephen G. Wozniak in 1977 and is headquartered in Cupertino, CA.
Who is Hyundai?
Based on CNN Business, the company profile of Hyundai Motor Company is described in the following way.
Hyundai Motor Co., Ltd. engages in the manufacture and distribution of motor vehicles and parts. It operates through the following business areas: Vehicle, Financial and Others. The Vehicle division offers motor vehicles. The Financial division provides financing, leasing and credit cards. The Other division includes manufacture of railways. The company was founded on December 29, 1967 and is headquartered in Seoul, South Korea.
Even Apple faces the hardships in the EV market?
In the other article, we covers how difficult companies enter the electric vehicle market. It takes time to research, design, develop and manufacture electric vehicles for traditional automobile manufacturers such as Toyota and Suzuki. Even Tesla, which is the most valuable automobile company in the world, needed 17 years to produce about 500,000 electric vehicles. Therefore, many analysts say that the big tech companies such as Apple and Sony will be able to make use of their technologies and experiences to produce electric vehicles, but the reality would be different. Actually, Dyson is reported that the company gave up entering the EV market and Byton, which is called “Chinese version Tesla” experienced the financial challenge to realize mass production of its EVs.
If we try to find the difference between Apple and other companies, the American IT giant is the most valuable company around the globe and its investment in Research & Development is tremendous. In addition to this, based on the reports, Apple wants to find a good partner to realize its ambition: The Company wants to succeed in the EV market like the smartphone market. Thus, if the potential partnership between Apple and Hyundai is failed, it is likely that it tries to find the other partner around the globe.