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 Brian Cooley of CNET that Apple has clear ambitions to develop a car. There is no longer any doubt about that. Munster, co-founder and partner at Loup Ventures, explained, however, that this intention was not clear about six months ago. The analyst was surprised, however, that Tesla shares were not more affected by the rumors about the development of an "Apple Car." It was also surprising that Apple shares did not rise further. Munster noted:
I think Apple is Tesla's biggest competitor.
Still, Munster said 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)
