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steveBK123today at 2:22 PM2 repliesview on HN

The car always made the least sense to me in that its the polar opposite of what Apple had evolved to. High-capex in-house manufacturing onshore in a highly regulated space vs capital-light outsourced contract manufacturing offshore of discretionary purchase consumer goods.

There are no successful car makers that outsource production, and even foreign car makers generally make cars onshore in US for tariff/political/regulatory reasons.


Replies

twoodfintoday at 3:32 PM

If Apple had gotten to the point of making a real product with “Titan”, all the signs were they would be engaging with a manufacturing partner in the US. Hyundai, most likely.

As for why they did it: Apple makes computers. If what you’re interacting with benefits from being a general purpose computer (under the covers or otherwise) Apple thinks they can deliver a superior experience and the margins that come with it.

I think they realized that the only computer in the car they cared about was the smartphone.

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greedotoday at 2:24 PM

The way Apple funded hardware purchases for their "OEM" manufacturers makes it hard to really say they were "capital-light."