Apple and Google expected to lead race for car of the future

“In a note to clients Monday, Morgan Stanley’s Katy Huberty reports that electronic parts suppliers in Asia have seen the future and it’s not 3D virtual reality headgear — at least not for now,” Philip Elmer-DeWitt reports for Fortune.

As component suppliers look for the next growth engine, they’re shifting focus to autos, engaging both existing brands and potential new entrants. Suppliers see many opportunities to leverage smartphone expertise such as in cameras, sensors, batteries, and displays. Given the changing supply chain as the industry transitions to electric from transmission powered vehicles and eventually to autonomous, we see the opportunity for technology vendors, including Google and Apple, to dominate. Component suppliers see new wearables categories like head mounted displays, as further away than the auto opportunity. — Morgan Stanley analyst Katy Huberty

Full article here.

MacDailyNews Take: It’s ironic that Google’s self-driving car (see it get pulled over in the full article) currently looks so much like this:

Apple Car as per Richard Scarry
Apple Car as per Richard Scarry


  1. Sure, it is theoretically possible to have acceptably safe autonomous vehicles. For them to operate on the public road system prevalent on the planet today, this would mean that these vehicles would either a) cost as much as jet airliners or b) travel so slowly that they can’t harm anyone when a failure occurs. Otherwise, the legal risk is immeasurable. Since nobody will ever be able to determine fault, the lawyers will nail both the autom manufacturer and the vehicle owner for every accident.

    As far as I can see, Apple’s decision to spend money in this area is ill-advised copying of Google. What a money pit.

    It may not be sexy to Cook and Co., but there is vastly more value to be had perfecting autonymous/linked off-road vehicles (agriculture, mining, airport baggage handling, etc) where the closed environment and lower relative speed allows vehicle makers to get their systems very mature with little risk to anyone else.

    Also, I would really like Apple to make a better Mac instead of advocating turning personal automobiles into complicated supercomputers that rely on very expensive always-on communications networks and huge arrays of finicky sensors in order to operate at all.

  2. seeing the new Nexus phone that snaps into pieces like a rotten twig you wonder how analysts figure Google will ever build a successful car. They can’t even design a phone…

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