Apple Inc and Kia Corporation, South Korea's second-largest automobile maker after parent firm Hyundai Motor Company, are close to a deal that will see the joint production of Apple's first electric vehicle (EV).
South Korean media on Friday reported Apple preparing to invest $3.59 billion to finally produce the Apple Car battery electric vehicle (BEV). Hyundai has confirmed it's in talks with Apple to manufacture Apple's first EV.
Apple Car will be a fully autonomous BEV without a driver's seat. It will use Hyundai's E-GMP BEV platform for its first vehicle chassis.
There is speculation Apple might sign the deal with Kia as soon as February 17 to meet the 2024 deadline for getting Apple Car into showrooms.
Should the deal push through, this BEV will be produced at the Kia Manufacturing Georgia complex at West Point, Georgia. Apple and Kia are aiming to produce at least 100,000 Apple Cars per year initially. This number will later be boosted to 400,000 annually to meet expected strong demand.
South Korean sources said Kia would take charge of production and manufacturing. On the other hand, Apple will provide the self-driving hardware, software, user experience, battery technologies, semiconductors, and form factor.
Apple has hired Dr. Manfred Harrer, Vice President of Chassis Development for the Porsche Taycan all-electric executive car, to take charge of producing its first autonomous EV.
The Taycan is Porsche's first EV, and Harrer brings with him to Apple his invaluable experience in nursing a new EV into production. Harrer began his automotive career at Audi and moved to BMW before joining Porsche.
Apple's EV project, once called Project Titan, has been long in the making. Apple CEO Tim Cook approved it in late 2014.
In 2017, California allowed Apple to test autonomous vehicles on California roads. Cook then revealed Apple is "focusing on autonomous systems" but not necessarily leading to an actual Apple Car in a bid to douse speculation.
Media revealed in December 2020 that Apple's artificial intelligence unit was overseeing Apple Car's development. A few weeks later, media reported Apple working towards a possible launch date of 2024 for Apple Car.
Early last month, South Korean media reported Hyundai was in early discussions with Apple to jointly develop and produce Apple Car. This week saw media stories saying Apple and Hyundai are close to clinching the deal to produce the Apple Car in Georgia.
