Apple rumored to invest $3.6 billion in Kia Motors
What's the story
Apple is rumored to be planning an investment of $3.6 billion in Hyundai-owned Kia Motors. The deal could be the first step toward producing the Apple Car at Kia's facilities in Georgia. The deal could go through by February 17 and Apple Car could release in 2025, much earlier than prior launch estimates. Kia aims to produce 100,000 cars per year once manufacturing commences.
Hush-hush
Hyundai confirmed discussions, then removed mentions of Apple from statement
When rumors about the discussions surfaced, Hyundai confirmed it was in talks with Apple. The statement was later revised to eliminate any mention of Apple, presumably upon its request. Reputed Apple analyst Ming-Chi Kuo said Apple will use Hyundai's E-GMP battery electric vehicle (BEV) platform for the first chassis design. Kuo says the Apple Car will come in 2025 if production is hastened.
Going all in
Kuo speculates intensive tech partnership
Kuo corroborated Apple-Kia tie-up rumors by saying Apple will leverage Kia's resources pertinent to self-driving hardware and software, semiconductors, battery technologies, and internal space designs. It is likely Kia's technology will be integrated into Apple's closed ecosystem of connected devices and services, once Apple Car is a reality. Kuo says Hyundai Mobis will also handle design and production for some Apple Car components.
Shared technologies
Hyundai Mobis tech could play significant role in Apple Car
Hyundai Mobis' recent ties with Envisics, Velodyne, and Motional for Augmented Reality Head-Up Displays (AR HUDs), LiDAR, and autonomous car tech respectively, could be crucial to Apple Car's development. Envisics's advanced digital AR HUD technology could significantly enhance Apple Car's user experience. The company is also working toward a 2025 launch, parallel to Apple Car's speculated timelines.
Luxury offering
Apple's speculated 2025 launch might be an ambitious target
That said, reports suggest that a 2025 launch is an ambitious target for Apple as it has to set up new and more complicated technology, supply-chain ties, and distribution networks for Apple Car. The car will not compete with mass-market electric cars. Apple intends to position the car as a "premium" product. With Apple refusing to comment, the exact production timelines remain unknown.