Apple’s electric-car project comes with several challenges

Apple’s electric-car project comes with several challenges

Against the backdrop of recent reports that Apple has efforts underway to foray into the automobile market with an electric car which it is apparently developing under its ‘Project Titan’ project, experts and analysts have said that the company should be prepared for several challenges which are a part and parcel of the present-day automobile business.

The challenges which Apple may want to look into while venturing into the electric-car market chiefly include growing safety regulations; frequent changes in the regulatory environment for zero-emission vehicles; and the low margins – and generally losses – linked to electric cars.

With regard to the challenges that the auto market underscores, Erik Gordon - professor at University of Michigan’s Ross School of Business – pointed out that Apple succeeded in the smartphone arena even though it was not in the phone business; and also added alongside: “But, the car business will be more difficult by two orders of magnitude.”

With some reports revealing that Apple is considering different options to build a car, and that the company may probably come out with a self-driving vehicle, Jon Bereisa - CEO of consulting firm Auto Lectrification – said that self-driving vehicles require “more software, more computation and more controls.”

Noting that building any kind of car is a project that is “very foreign” to Apple, Bereisa said it will probably be more advantageous for Apple to “work with car companies to put Apple inside.”