CUPERTINO, Calif.–Apple will launch its own car sometime between 2023-2025, according to an analyst who has a strong track record of predicting Apple product introductions.
Analyst Ming-Chi Kuo said he expects the car will be the company’s next “star product.” The analyst did not offer any insights into whether the vehicle is intended to be a standalone item that would be bought by consumers, or used on an as-needed basis only as part of a subscription basis. The latter could have significant implications on credit unions and auto lending.
According to Fast Company, the reasons analysts expect the vehicle will be a “star product” include:
- Potentially huge replacement demands are emerging in the auto sector because it is being redefined by new technologies. “The case is the same as the smartphone sector 10 years ago.”
- Apple’s leading technology advantages (e.g. AR) would redefine cars and differentiate Apple Car from peers’ products.
- Apple’s service will grow significantly by entering the huge car finance market via Apple Car.
- Apple can do a better integration of hardware, software, and service than current competitors in the consumer electronics sector and potential competitors in the auto sector.
There is some skepticism with the report, however, with Fast Company noting Apple has been working on a car-related project, dubbed Project Titan, since at least 2014.