Reports say Apple is canceling work on an electric car

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CNN
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Apple has abandoned a decade-long effort to make this happen Building an electric caraccording to multiple media reports, stalling a project that some saw as potentially transformative for the auto industry.

Several employees work on the project, known internally as “Project Titan,” It will be moved to the company's artificial intelligence division, according to Bloomberg, which first reported the decision citing people familiar with the matter. CNN contacted Apple (Camel) to comment.

The news comes as electric vehicle sales soar DisappointedWhich prompted many major automakers to withdraw investments and reduce prices. Artificial intelligence, on the other hand, is Having a moment Apple reported Shift in resources It could help it close the gap with competitors like Microsoft and Google, which have stolen the march on advanced technology.

“The tech giant is following a trend, with investor enthusiasm for electric vehicle investments declining amid the craze for all things AI,” said Susannah Streeter, head of finance and markets at UK-based investment platform Hargreaves Lansdowne.

“It is important for Apple to stay one step ahead in developing technology that people crave, to justify the high price points of its products, so fully exploring the opportunities that AI presents for its future ranges is essential,” she wrote in a note on Wednesday.

The iPhone maker has never confirmed Long term speculation It will build an electric car, but it has taken several steps over the past 10 years that indicate it is serious about the effort.

Apple has been hiring auto executives since at least 2014, and in April 2017, it received approval Allow From the California Department of Motor Vehicles to test self-driving vehicles. Two years later, it acquired Drive.ai, a self-driving car startup. In 2021, Apple hired a BMW veteran who led the German automaker's efforts in electric vehicles.

It also obtained several automobile-related patents, including: One For a virtual reality system to treat motion sickness, and last To adjust the tint on the window in real time.

Some experts have speculated in the past that Apple is more likely to partner with one or more automakers to sell the car's operating system, self-driving software or other related technology, rather than manufacturing the entire car.

Tesla CEO Elon Musk claimed In 2020 he tried to sell the electric car He told Apple during a difficult time but Apple CEO Tim Cook declined to meet him.

Also that year, Morgan Stanley analysts said the Apple Car had the potential to be a “transformational event” for the auto and mobility industries in the coming decades, much as the iPhone had revolutionized the mobile phone sector.

Apple may be delaying its plans to break into the highly competitive electric car industry, but one of its biggest partners sees a big opportunity. Foxconn is the manufacturer of the iPhone Diversification in the electric car industrySales are scheduled to start this year. CEO Yong Liu recently Tell CNN says the electric vehicle business model “must be reinvented.”

This story has been updated with additional information.