Apple’s entry into the electric vehicle market with the rumored “Apple Car” will not be a problem for VW, says the VW boss. With the well-established carmaker he is “not afraid” of what the tech giant Cupertino can bring to the auto industry.
VW boss is not afraid of future Apple Car market entry
Apple has been rumored to have an autonomous electric car in development; And recent reports claim that Apple is looking to make it happen by partnering with an existing car maker. Despite the size and potential Apple innovation it can bring to the industry, VW CEO Herbert Diess; he does not believe that Apple poses a risk to the automaker.
“The auto industry is not a typical tech sector that you can take over in one fell swoop.” Deiss told Frankfurt Allgemeine Sonntagzeitung in an interview picked up by Reuters. “Apple will not manage overnight.”
While many rumors have hinted at the different ways the “Apple Car” could differentiate itself from other vehicles, Apple has so far been silent about its intentions. Still, Deiss believes the car is on the way, as it is a “logical” progression for Apple.
This includes his extensive experience in battery and power management, software and hardware design that he can use for the vehicle. It also has a considerable amount of resources and a strong war chest to put the car into production in the future.
Even knowing this, Deiss has no regrets. “Still, we are not afraid,” declared the chief.
While not intrepid for Apple, Deiss previously offered comments welcoming companies like Apple that could disrupt the auto industry. In December, he said: “We are expecting new competitors that will undoubtedly accelerate the transformation of our industry and bring new skills.”
At the time, Deiss referred to the “incredible valuation of Apple and therefore the practically unlimited access to resources”, which “instills in us a lot of respect.”
Although its stance is challenging on Apple’s possible entry into the car market, VW remains a potential partner that Apple can work with on the car, according to a note to Wedbush investors. VW stood alongside Hyundai as the top two automaker picks for Apple, but is reportedly looking for other avenues as well.
VW has also been linked to PAIL, the Palo Alto to Infinite Loop pilot program to transport Apple employees between offices. The project was allegedly intended to use Volkswagen’s T6 Transporter vans, modified to run on electricity instead of gas and to use Apple’s autonomous driving system.