Hyundai is reportedly handing over the Apple car project to Kia.
For years, there have been rumors that technology giant Apple wants to enter the auto industry with its own technologically advanced electric car. As the years went by with no official announcements, it was assumed that Apple's car project was dead. Instead, reports and patent filings suggested Apple will develop innovative technology for carmakers.
However, Apple's long-rumored car appears to be back on track as inside sources recently claimed the company intends to launch its first-ever car by 2024. Hyundai was expected to collaborate with Apple to build the car, but now Korea's eDaily claims Kia will take charge of the project.
If the proposal is approved, Apple's car will allegedly be built at Kia's US production plant in Georgia. Hyundai, on the other hand, apparently doesn't want to get involved with Apple. Instead, the Korean automaker wants to focus on developing its own brand and launch its upcoming Ioniq sub-brand starting with the Ioniq 5.
According to the report, Hyundai is worried that Apple would want to take over the project and use Hyundai as an OEM factory for Apple's car projects. It's also believed that Apple wants Kia and Hyundai to build the batteries as well as the car. An industry insider claims teaming up with Kia would be a suitable partnership as it will strengthen the Kia brand and align with the company's current electrification strategy.
Right now, Kia is undergoing a transformation with a new logo and plans to expand its electric range beyond the Niro EV and Soul EV with nine new electric cars. Since Apple has no experience designing or manufacturing cars, it makes a lot of sense for the technology giant to team up with an established automaker, combining Kia's engineering and design prowess with Apple's technology expertise. When it enters production, the Apple car will boast a revolutionary "monocell" battery design allowing for longer ranges and packaging. Hyundai told the publication that nothing has been decided yet, so we'll have to wait and see if these proposals are put into action.