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What impact would an Apple car announcement have on M3 preorders?

Discussion in 'Model 3' started by fspilot, Apr 15, 2016.

  1. fspilot

    fspilot Member

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    As the title says. I thought it would be interesting to talk about the impact (if any) of an Apple car announcement or evidence that it actually exists on M3 preorder numbers. I believe we will see something from Apple before 2018 which is when I expect to see M3 deliveries outside Tesla employees/current MS and X owners.
     
  2. PTADO

    PTADO Member

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    What is your basis for this belief? Just curious. It's an interesting topic but is there any supporting evidence for thinking Apple may make a car by 2018?
    To answer your topic question, I don't think it would make a huge impact from strictly an association standpoint. People associate Tesla with electric CARS. People associate Apple with electronic DEVICES (Phones, Laptops, iPads, etc.)

    A while back, a LONG while back, I did a focus group regarding an "Apple Airline". They had a mock-up plane, colored the trademark Apple white, with all sorts of bells & whistles and fancy tech inside. The whole group, myself included, couldn't support it. Everyone felt that even if it was "geared toward our demographic", that Apple had no business making airplanes. Funny enough, it just seemed to be the group decision and there was no swaying us.

    If I were to do a focus group about an Apple CAR today, I would feel the same way. It's not their niche, it's not their business, and it would feel hokey and almost silly to even say you "drive an Apple". Gimmicks like color options reflecting their products, iPad dash, iTunes built-in, all that stuff still wouldn't make me feel like I was making a wise car-buying choice. I would feel more like "my car is going to outdated in 6-months".

    I may be alone in this opinion, but I don't think an "Apple iCar" would pose any significant threat to the model ≡ market.
     
  3. fspilot

    fspilot Member

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    My apologies. I was under the impression that more people were aware of the rumors going around. Even Musk acknowledge it and called it one of the worse kept secrets, since Apple is hiring people he fires from Tesla. (paraphrasing)

    Here is a link with more information: Apple Car: Everything We Know | MacRumors
     
  4. geoffreak

    geoffreak Model 3 Reservation Holder

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    Am I one of the few that thinks that Apple isn't going to sell a car? I think they're just doing car research to see what can be done in partnership with existing manufacturers (BMW was rumored). They might be building a bunch of cool things for in-car tech, but I just don't see them bothering with a low-margin car, especially when vehicle manufacturing margins are so low and there's already a cool innovator in the market (Tesla). This is the same reason why they don't bother making a television set and instead made a set-top box.
     
  5. Trips

    Trips Member

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    When was the last time that Apple produces a single product in house? I would guess 25 years ago with their computers. Yes I am sure they are designing a cool car but are they going to have Foxconn produce it?

    Their best bet would be to buy Tesla or produce technology that they could sell to other auto companies.

    - Android User
     
  6. JohnSnowNW

    JohnSnowNW Active Member

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    Probably zero. People desire the Tesla because it has several years of automotive press singing its praises.

    If Tesla released a phone would Apple immediately lose a number of sales?
     
  7. TTBHG

    TTBHG Member

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    Apple won't compete with the Model 3. Apple wants astronomical margins and that's not happening with the model 3.

    That's not to say they won't build one to compete with the S or X.
     
  8. Uncle Paul

    Uncle Paul Member

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    Apple has billions of dollars of cash, just sitting in non productive assets.

    Tesla has perhaps the worlds best cars, but needs billions of dollars to further develop them and invest in production facilities.

    Might make all the sense in the world for Apple to just buy Tesla, and retain Musk to run it. Everybody wins...a lot.
     
  9. fspilot

    fspilot Member

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    I can see the logic behind that. But Apple has millions of people that buy anything they release (not me, never owned one) and they also have tons of cash reserves to research, make and promote a good car. Lets also not forget that Apple did steal some people from Tesla already, bringing with them invaluable experience.
     
  10. JohnSnowNW

    JohnSnowNW Active Member

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    Except Musk. While I think he still feels the same about moving everyone to sustainable transport, his main interests seem to lie elsewhere.
     
  11. JohnSnowNW

    JohnSnowNW Active Member

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    They don't make anything comparable to a vehicle in cost, however. It's a rather large financial investment, and they'll still be challenged with charging infrastructure...assuming they're building something to compete with the M3.
     
  12. Jason Bourne

    Jason Bourne Member

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    I don't think an Apple car would sway my plan at all. I wouldn't want to purchase the first car model Apple produced, and I love the flavor of tech that Tesla pioneers. I could see, however, Apple buying chassis from Tesla and putting their own body on it. A throwback to the coachmakers from the early 20th century?
     
  13. fspilot

    fspilot Member

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    Here is a quote from the article I linked above regarding just that:

    "In early 2014, rumors suggested that Apple had considered purchasing electric car manufacturer Tesla, after the company's head of acquisitions, Adrian Perica, met with Tesla CEO Elon Musk.

    Musk later confirmed that Tesla "had conversations" with Apple, but declined to comment on whether those conversations revolved around an acquisition. At the time, he said that an acquisition of Tesla by any company was "very unlikely" because he wanted to stay super focused on the goal of creating an affordable electric car.

    Apple and Tesla acquisition talks seemed improbable in early 2014, but now that news of an Apple Car has leaked, it seems somewhat more likely that Tesla and Apple did potentially mull over the possibility of an acquisition. Elon Musk has said that were there a scenario where an acquisition would further Tesla's goal of an affordable electric vehicle, he would consider it.



    If there was a scenario where it seemed like it would be more likely that we would be able to create the mass market sort of affordable, compelling car then possibly it would make sense to entertain those discussions. I don't currently see any scenario that would improve that probability, so that's why I think it's very unlikely."
     
  14. eSpiritIV

    eSpiritIV Member

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    Interesting discussion. Probably would make sense for Apple to buy Tesla and make the Model 4. Small, autonomous, Uber like city cars that already have your itunes library when you step into it :)
     
  15. flamingoezz

    flamingoezz Member

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    a ton of people want the shiniest, newest thing and apple has a huge following. if the choice was waiting 1.5 years for your pre-order or getting the first apple car in your neighborhood, i could see alot of late adopters switch. and if the apple car had better features or look than the tesla lineup, some early pre-orders could even switch.
     
  16. ecarfan

    ecarfan Well-Known Member

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    While it is apparently an "open secret" in Silicon Valley that Apple is seriously evaluating whether or not to make an Apple car, there is no way that -- if Tim Cook gives the go ahead on the project -- Apple will start selling a car in two years. The construction of a factory to build such a car, and the difficulty in sourcing an adequate battery supply without building a new battery factory, means that we will know years in advance if Apple decides to build a car. And as of know it seems to me there is little chance that Apple or one of its partners has started construction of such factories. I don't think they could be kept secret for very long.

    I think 2020 for the launch of an Apple car is more realistic. And Apple does not announce new products much more than 6 months before they go on sale. So if such an announcement does come it will be after the Model 3 goes into production and I don't expect it to have much of a negative impact on Model 3 sales.
     
  17. Phthalate

    Phthalate Member

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    If Apple were seriously considering building a car, they probably would have tried to buy Tesla by now. When I imagine what an "Apple Car" would look like and mean to the world, I feel like it would be very similar to what the Model S is and has become.

    I don't think they're going to build a car. I don't think I want them to build a car. Would I be okay with the two companies collaborating on an infotainment system and other electrics? Absolutely.
     
  18. JohnSnowNW

    JohnSnowNW Active Member

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    It takes some time to bring a vehicle to market, and mass-produce it. There would be a considerably longer wait for the Apple car, than the Model 3.
     
  19. yesup

    yesup Member

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    I think he refers to your speculation about announcement before 2018 - there is no basis for that.
    Apple looks at a lot of potential products/markets, there were rumors a few years ago about them selling TVs, etc.
    But it is way too premature to say that they can make anything concrete within two years. That's a very short time in terms of car development.
     
  20. TravelSD80

    TravelSD80 Member

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    While I'm a fan of the iPhone (not OS X), I wouldn't want an Apple car. Tesla had gone through many years of lessons learned in vehicle design. There's no way in hell I want a v1.0 car from Apple. Maybe 5-10 years after they start producing them.
     

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