Reports about the Apple Car have increased significantly in recent weeks. Now an analyst has spoken out and declared that Tesla's biggest competitor will be Apple.
The analyst Gene Munster explained In a conversation with CNET's Brian Cooley, Apple clearly stated its ambition to develop a car. There's no longer any doubt about that. However, Munster, co-founder and partner at Loup Ventures, explained that this intention wasn't clear about six months ago. However, the analyst was surprised that Tesla shares weren't more affected by rumors of the development of an "Apple Car." He also noted that Apple shares haven't risen further. Munster noted:
I think Apple is Tesla's biggest competitor.
Nevertheless, Munster says he believes both companies can coexist in a future auto market. Both Apple and Tesla have the potential to seriously harm existing automakers. The analyst believes the "next wave" of transportation will come from the technology industry.
Apple Car: Why does Apple want to develop a car?
This means that Apple will be a competitor for Tesla. But Tesla has yet to figure that out.
The analyst predicts that Tesla could have a 25% share of the global electric vehicle market in a decade. Apple, he adds, could reach 5%, 10% or 15% of the market. Munster also played down speculation that Tesla and Apple could ever merge. Both companies are too adamant when it comes to controlling their own products. When asked why Apple wants to enter the automotive market, the Loup Ventures partner also has an answer. This market is bigger than anything Apple has done before.
It is many times bigger than anything Apple has tackled before. What keeps tech companies awake at night is growth.
If the rumors prove true, the first Apple Car could appear by the end of this decade. (Photo by Jonathan Weiss / Bigstockphoto)
