Tuesday, October 18, 2016

Apple puts a brake on your titanic project of the electric car – Financial Daily

Apple is taking a drastic change of direction to their ambitions, automotive, cutting hundreds of jobs, to ensure that their plans, for now, do not include the development of its own vehicle, said people connected with the project.

the new direction of The initiative, known internally as Project Titan, is reenfocará to develop a driving system autonomous, which gives Apple the flexibility to partner with auto manufacturers that already exist, or return to the design of their own units in the future.

Hundreds of members of the team, of around 1,000 people, have been redeployed, made redundant or left of their own free will in the past few months, according to the sources who asked not to be identified because it is not a public fact.

Bloomberg reported that the people related to the topic ensured that the company has kept the number of team members by hiring more people to help with the new focus.

Executives of the technology gave the team in charge of the vehicle until the end of 2017, to demonstrate the feasibility of the system of self-control and decide the final direction it will take.

The new deadline and come after months of disagreements over strategies, flow and leadership challenges in the supply chain in the laboratories of automobile Apple in Sunnyvale, California, nearby to the central office in Cupertino.

"Probably were not willing to engage on quality issues" because it could affect the perception of its other products, said Eric Paul Dennis, Center for Automotive Research.

Apple is not the first to realize that the domain in mobile devices and software updates are not a guarantee for success in the automotive industry. Google learned of the challenge of building their own cars and sought out partners. Your project of vehicles has also suffered casualties. Investors in technology are also shown doubtful. They are accustomed to profit margins bulging, while the manufacturers of cars survive with figures below 10%.

Apple started the project in 2014 with great ambitions and expected to launch his self at the beginning of 2020.

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