Xiaomi and Apple Threatens Tesla With 2024 EV Vaporware

Smartphone giant Xiaomi is hiring many positions for its electric vehicle unit and for its autonomous driving project.

Xiaomi is targeting its first car model to market within three years (around 2024).

BYD and Xiaomi are in discussions to form a strategic partnership.

“BYD will support the development of Xiaomi in the automotive business in the future,” he said. “Not only support, but BYD and Xiaomi are also negotiating some [other] projects in the automotive field.”

Xiaomi is starting its EV work with an initial investment of US$1.5 billion and expects to spend up to US$10 billion over the next decade.

Apple is close to signing a deal in which it would partner with Canadian manufacturer Magna International to build an EV powered by LG-supplied batteries and running on Apple software.

Apple is talking to BYD and CATL about batteries. Apple is rumored to be targeting 2024 for its first EV.

No Existing EV Player is Threatened by 2024 EV Vaporware

The history of EVs shows that Tim Cook could have cut a deal with Tesla. Tim Cook did not even meet when Elon Musk was willing to get funding in 2017.

Apple would have made 10X if a deal was made then and Apple would be the biggest EV player.

Apple’s Tim Cook completely screwed up that opportunity. Apple has been working to create an EV for nearly 20 years but has not created anything.

Now Tesla is far stronger. Nio and other EV makers are getting stronger.

People keep saying just wait Apple will do something with EVs and Apple will be a serious competitor with EVs and full self-driving.

So right now: Xiami has made an investment but has not revealed a prototype. Xiami is still putting together the partnerships to make the product.

By 2024, NIO should have finished its second factory and be on the way to ramping to 1 million cars per year.
By 2022, Tesla will be ramping the Berlin and Austin factories and continued Shanghai expansion. By 2024, Tesla could have built and ramped any new factory projects that Tesla announces in 2021-2023. Tesla will be spending $5 to 10 billion each year by 2023-2025 to build out factories.

Apple has $204 billion of cash on hand. Apple will not unleash all of those funds to attack the EV market. Apple still has to maintain and grow its smartphone and tablet businesses.

This is clearly an area where Apple is missing Steve Jobs. Steve Jobs died in 2011. Tim Cook kept Apple executing with smartphones after the death of Jobs. If Steve had been able to beat cancer and stayed healthy, then I think he would have bought into Tesla in 2017 and/or had a three year project that would have revealed an Apple EV in 2014.

SOURCES -SCMP
Written by Brian Wang, Nextbigfuture.com (Brian owns shares of Tesla)