Apple Axes 600 Jobs Amid Car and Smartwatch Project Shutdowns

Apple Inc. has laid off over 600 employees across multiple locations in California due to the discontinuation of its electric car and smartwatch display projects. The layoffs were disclosed in compliance with the Worker Adjustment and Retraining Notification (WARN) program, which mandates that companies provide advance notice of significant layoffs. These cuts affected employees at a main car-related office in Santa Clara, where 371 individuals were laid off, and at various satellite offices, including at least 87 employees from a covert facility dedicated to next-generation screen development.

The termination of the car project was attributed to executive indecision and cost concerns, while the smartwatch display initiative faced engineering, supplier, and cost challenges. The affected positions ranged from hardware engineers to product design engineers and machine shop managers. Despite these layoffs, Apple has managed to avoid the level of downsizing seen at other tech companies during the pandemic.

Some of the employees from the car team have been reassigned within the company to other areas such as artificial intelligence or personal robotics. This shift reflects Apple's strategy to focus on new technologies, including generative AI projects. The layoffs are set to take effect on May 27, following official notifications to the affected employees on March 28.