After 10 years, Apple abandons the electric car project

The American corporation Apple has decided to halt the development of its own electric car, which was initiated ten years ago, according to Bloomberg, citing sources familiar with the situation. Reuters also reports the same information.

Sources told Bloomberg that the corporation announced this decision on February 27. The move was supported by Chief Operating Officer Jeff Williams and Apple's Vice President of Technologies Kevin Lynch, who was in charge of the project.

Both executives informed the development team that the project would be gradually phased out, and the staff would be transferred to the artificial intelligence department. According to sources, about 2,000 people were working on the project.

Bloomberg's sources do not rule out that some employees may apply for transfers to other departments, while others may be laid off. The exact number of employees who will be forced to leave the company is currently unknown. Apple declined to comment.

What is the reason?

The project in question is Project Titan, which the corporation launched in 2014, as reported by Bloomberg. According to the agency, billions of dollars have been invested in the project since then.

The project faced difficulties almost from its inception, the publication notes. Several years ago, project leader Doug Field left the company, after which the development was led by Williams and Lynch. Subsequently, leadership within the team continued to change, and the project's strategy also underwent alterations.

According to Bloomberg's estimate, there were still several years left before Apple's own electric car would be finally released. The key challenge for the corporation in this project was the implementation of autonomous driving technology, which Apple had been testing on roads since 2017. The company was considering options such as delaying the release until 2028 or reducing the capabilities of the autonomous driving system.

However, ultimately, Apple's decision was influenced by the cooling of the electric car market, the agency reports. According to its data, sales growth in this segment slowed down in recent months, with buyers being deterred by high prices and the lack of charging infrastructure. Apple itself had planned to sell the electric car at a price of around $100,000, according to Bloomberg.