Apple Lays Off Hundreds As Car Project Comes to a Close

Chris Teague
by Chris Teague

Notoriously tight-lipped Apple never officially confirmed its autonomous car project, but the tech giant has been making an awful lot of moves for not having started work on one. Documents filed with California’s Employment and Development Department show that Apple recently laid off 600 employees in the state, coinciding with reports that it nixed its car project to focus on other products.


The company cited significant business challenges as the reason behind its layoffs. Earlier this year, reports surfaced that the company’s Special Projects Group would be disbanded because Apple couldn’t figure out production and how to integrate the car with its overall catalog of devices and services.


This all comes a decade after Apple car rumors started bubbling up, but the company was known to operate advanced and autonomous test vehicles in the San Francisco Bay Area. The project never really gained critical mass within the company, however, and the Special Projects Group underwent reorganizations and layoffs at least a few times over the years.


The car could have represented a significant opportunity for Apple, but the company has had plenty of external case studies from other new and legacy automakers that likely changed its mind. Affordability and manufacturing challenges abound for even the most experienced companies, as Ford and others have gingerly pulled back on the most aggressive investments and electrification plans. Autonomous vehicles are even more challenging, as GM’s Cruise has proved with much press over the last year.


[Image: TonyV3112 via Shutterstock]


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Chris Teague
Chris Teague

Chris grew up in, under, and around cars, but took the long way around to becoming an automotive writer. After a career in technology consulting and a trip through business school, Chris began writing about the automotive industry as a way to reconnect with his passion and get behind the wheel of a new car every week. He focuses on taking complex industry stories and making them digestible by any reader. Just don’t expect him to stay away from high-mileage Porsches.

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  • Scott Scott on Apr 09, 2024

    Apple is a software company, Auto makers aren't. If Apple hasn't developed a solid core of a marketable system then they deserve to fail.


    Long term, Apple has to worry about the China market moving to local phones. That would change APPLE to apple overnight.

  • Cprescott Cprescott on Apr 09, 2024

    The Fruit company found out that people won't pay extra for the 4th wheel.

  • JLGOLDEN Enormous competition is working against any brand in the fight for "luxury" validation. It gets murky for Cadillac's image when Chevy, Buick, and GMC models keep moving up the luxury features (and price) scale. I think Cadillac needs more consistency with square, crisp designs...even at the expense of aerodynamics and optimized efficiency. Reintroduce names such as DeVille, Seville, El Dorado if you want to create a stir.
  • ClipTheApex I don't understand all of the negativity from folks on this forum regarding Europeans. Having visited the EU multiple times across different countries, I find they are very much like us in North America-- not as different as politicians like to present them. They all aren't liberal "weenies." They are very much like you and me. Unless you've travelled there and engaged with them, it's easy to digest and repeat what we hear. I wish more Americans would travel abroad. When they return, they will have a different view of America. We are not as perfect or special as we like to believe. And no, many Europeans don't look up to America. Quite the opposite, actually.
  • Dwford Let's face it, Cadillac is planning minimal investment in the current ICE products. Their plan is to muddle through until the transition to full EV is complete. The best you are going to get is one more generation of ICE vehicles built on the existing platforms. What should Cadillac do going forward? No more vehicles under $50k. No more compact vehicles. Rely on Buick for that. Many people here mention Genesis. Genesis doesn't sell a small sedan, and they don't sell a small crossover. They sell midsize and above. So should Cadillac.
  • EBFlex Sorry BP. They aren’t any gaps
  • Bd2 To sum up my comments and follow-up comments here backed by some data, perhaps Cadillac should look to the Genesis formula in order to secure a more competitive position in the market. Indeed, by using bespoke Rwd chassis, powertrains and interiors Genesis is selling neck and neck with Lexus while ATPs are 15 to 35% higher depending on the segment you are looking at. While Lexus can't sell Rwd sedans, Genesis is outpacing them 2.2 to 1.Genesis is an industry world changing success story, frankly Cadillac would be insane to not replicate it for themselves.
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