Apple (AAPL) may be looking to get into the EV game, and a NIO (NIO) or Xpeng (XPEV) partnership could be their best opportunity to do so. Apple has renewed their interest in getting into the EV industry and with talks of Project Titan surfacing again, this is an opportunity you simply can’t ignore.
According to a recent note by Wedbush Securities Analyst, Daniel Ives, Apple’s EV ambitions have seen many twists and turns over the last six years, having been significantly scaled down from an initial ramp a few years ago to regaining prominence now following reports of a possible 2024 Apple car unveiling, Ives said in a Wednesday note.
The probability of Apple unveiling its own standalone car by 2024 is 35%-40% given the Herculean-like auto production requirements involved, battery technology ramp, financial model implications and regulatory hurdles, the analyst said.
If Apple ultimately takes the plunge, the time frame could be longer given the safety and regulatory issues involved and the cautious disposition of Apple under Tim Cook with respect to new product launches, he said.
One possibility is that Apple could announce an EV strategic partnership in 2021, Ives said.
This could lay the groundwork for a dual path of Apple starting to build its own line of EV autos after 2025 if an EV/autonomous venture is successful with consumers, the analyst said.
“In a nutshell, this would only expand the massive TAM for Apple over time to go aggressively after the EV market, however as we have seen in decades of following Apple many products/strategic ideas happen in the labs of Cupertino that ultimately never leave the confines of Apple Park.”
Little known stock to put $100 in RIGHT NOW!
The electric vehicle boom is just getting started… and we have just uncovered the most profitable company that’s about to go public through a SPAC. Even Wall Street is excited, calling it “A promising challenger to Tesla”, they even called it “Electric vehicle gold.”