Apple Cancels Electric Car Project, Shifts Focus to AI
Apple Inc. has decided to terminate its electric vehicle initiative, known as Project Titan, after more than a decade of development and billions of dollars invested. The project's discontinuation reflects a broader reassessment of electric vehicle investments among major automakers, in response to shifts in market demand and economic conditions. The approximately 2,000 employees previously dedicated to Project Titan will now be redirected to focus on Apple's artificial intelligence and mixed-reality efforts, areas where the company sees potential for growth and innovation in the context of increasing human reliance on technology.
The electric vehicle market has seen a notable decrease in demand, leading some companies, including Ford and General Motors, to adjust their production targets. This market trend has affected stock values in the sector, with Tesla shares falling by 18% this year, and similar declines observed in the shares of other electric vehicle companies such as Rivian and Lucid. Despite previous plans to release an electric vehicle by 2028 and the recruitment of automotive talent, Apple has shifted its automotive strategy to continue developing technologies such as CarPlay, which is now available in 80% of new cars. The knowledge gained from the autonomous test vehicles in Project Titan may still contribute to future transportation projects. Following the announcement of Project Titan's cancellation, Apple's stock experienced a modest increase of 1%.
