Foxconn Technology Group’s planned purchase of beleaguered startup Lordstown Motors’ auto plant in Lordstown, Ohio may make it a stronger contender to assemble “Apple Car.”
In December 2020, Reuters reported that Apple is moving forward with self-driving car technology and is targeting 2024 to start production of a passenger vehicle that could include its own breakthrough battery technology.
The Taiwanese company is the largest maker of iPhones, giving it a potential edge as Apple explores the automotive sector. Foxconn agreed to spend $280 million on the Lordstown deal, one of the top vehicle-related investments it has made over the past two years…
Foxconn’s early moves into cars have yielded few tangible results, and Apple is set to require solid proof of vehicle-manufacturing expertise before it settles on a partner — if the iPhone maker decides to make the leap into autos at all. Shares of Foxconn’s flagship unit, Hon Hai Precision Industry Co., fell in Taipei trading on Friday in a sign of investor doubt the plant purchase will be a game changer for the electronics giant.
Apple, which isn’t expected to enter the market for several years but is actively looking into it, would be the ultimate prize for every aspiring EV manufacturer. Working in Foxconn’s favor is its strong relationship with the U.S. consumer-electronics giant. The years-long partnership has expanded as Apple has added product categories, and the company now accounts for about 50% of Foxconn’s annual sales.
Foxconn has yet to commercially release any vehicle following the debut of its EV platform last year. It plans to start mass production of Lordstown’s Endurance electric pickup in Ohio in April, according to a person familiar with its schedule.
MacDailyNews Take: In that aforementioned Dec. 2020 report, Apple’s new battery design was described an central to Apple’s strategy as it could “radically” reduce the cost of batteries and increase the vehicle’s range using a unique “monocell” design that bulks up the individual cells in the battery and frees up space inside the battery pack by eliminating pouches and modules that hold battery materials.
