It is reported that Apple recently proposed an electric car collaboration with Hyundai Motor Company. The picture shows an Apple car that was expected from’Macrumers’, where Apple-related information is posted. Photo mcrumers
I was deeply worried about how Hyundai would write a reply to a letter from Apple in the United States. According to the automobile and financial investment industry on the 10th, Apple and Hyundai Motor Company exchanged opinions that’by 2024, 300,000 self-driving electric vehicles will be produced at factories in the US’. Regarding the’Apple Car’ collaboration, Hyundai Motor Company’s official position is that “nothing has been decided in an early stage”, but it is known that insiders are busy calculating profit and loss.
In the auto industry, it is analyzed that if Hyundai Motors joins forces with Apple, the dedicated platform will be fully operational and economies of scale can be realized in electric vehicle production in an early time. Just as Samsung, a latecomer in the smartphone market, jumped to the Galaxy, Hyundai Motor Company can join hands with Apple to grow into the’second Galaxy’ brand in the electric car market. However, there are also concerns that even if Hyundai Motor Company collaborates with Apple, if it is limited to a production base like Foxconn, a consignment maker of smartphones in Taiwan, it could become a subcontractor with a margin of 1-2%.
“Hyundai Motors is the right partner for Apple”
Among the auto industry and experts, the view that Hyundai Motors’ cooperation with Apple is advantageous. Ko Tae-bong, head of the Hi Investment & Securities Research Center, said, “There is no reason not to avoid reducing potential competitors because anyone will do it even if it is not Hyundai.” Again, the key is the content of cooperation. Experts point out that Hyundai Motor doesn’t have to assume a low tax. This is because if Apple is looking for a partner with quality and production capabilities, it will be difficult to find the right person only for Hyundai.
In the future, it is essential to secure price competitiveness through economies of scale in the electric vehicle market. Only then can we catch up with the’half-price electric car’ announced by Tesla last year. For this, a dedicated platform, represented by a’skateboard (a structure in which the battery is laid on the floor and the body is raised)’ is required. Among the world’s automakers, Tesla, GM (BEV) and Volkswagen (MEB) so far, and Hyundai Motor (E-GMP) and Toyota (e-TNGA) this year have dedicated platforms.
Tesla is Apple’s biggest competitor, and the chances of collaboration between the two are small. Also, in the case of Volkswagen and GM, there is not enough room to build partnerships other than their own products. Toyota is behind Hyundai and Kia in the electric car competition. In addition, the industry believes that Hyundai and Kia Motors maintained the top ranks in the recent US JD Power new car quality survey, which is considered to be the first among Apple’s targets for collaboration.
If Apple launches an electric vehicle, the first market is likely to be the domestic market. Hyundai and Kia Motors have car factories with production capacity of 370,000 units and 340,000 units, respectively, in Alabama and Georgia, USA. In both places, lines for electric vehicles can be expanded. Even if a new factory is built, it can quickly respond to the US electric vehicle market using the existing supply chain.
There were also rumors of cooperation between Apple and Chinese electric car makers, but the possibility is small. “It will be difficult for Apple to cooperate with China in a situation where the US-China trade conflict continues.” . Doo-won Cha, director of the Mobility Research Center Cha Doo-won, said, “Like the iPhone production method, the manufacturer design and production (ODM) method in which Apple cooperates and produces with a platform-owned company seems promising.” “It will be possible.”
“If it becomes like Foxconn, the production base falls”
However, among the forms of cooperation with Apple, there are many concerns that if Hyundai Motor’s role is solidified to ODM, Apple’s interference will be inevitable. Also, if Apple is given the initiative, it could be contrary to Hyundai Motor’s strategy to expand the territory of electric vehicles through Apple’s advanced technology, design and quality control. From the perspective of Hyundai Motors, it is necessary to have a plan that can take both justification and practicality.
Lee Hang-gu, a senior research fellow at the Korea Automobile Research Institute, said, “It is not a simple production base, but a win-win situation through a horizontal relationship.” “He said. He added, “It can be a risk for Hyundai Motors to jump into too many fields such as personal aviation and robots, including future car cooperation.”
It is known that current opinions are divided even inside Hyundai Motor Company. An industry official who requested anonymity said, “The discussion between the two companies is at the level of tapping (demand survey). Even if it does, we look conservative about the impact.” Meanwhile, after the establishment of the Hyundai-Apple alliance, Dan Yves, an analyst at Weedbush Security, an US investment company, said, “There is a 35-40% chance that Apple will launch its own car. The first step will be to choose a partner.” Analyzed.
Meanwhile, according to foreign media such as Reuters, it is known that Apple recently restarted’Project Titan’. Project Titan is an electric vehicle production project initiated by Apple CEO Tim Cook in 2014. It is said that it was scrapped during the research and development stage, but it was recently reopened.
Reporter Kim Young-joo [email protected]