Apple reportedly canceled its plans to build an electric car

The news signals an end to Apple’s secretive effort to build a car to rival Tesla

Apple is reportedly winding down its Special Projects Group, the team dedicated to electric car development, as reported by Bloomberg. This decision marks the conclusion of Apple's secretive endeavor to create a car to compete with Tesla. Despite employing thousands of staff, the project never quite aligned with Apple's core focus on electronics and online services, raising uncertainties about vehicle manufacturing. Rumors of Apple's car ambitions emerged in 2014 following the recruitment of automotive engineers and talent from the auto industry. Although details remained scarce, Apple operated a program involving autonomous cars equipped with sensors and safety drivers in the San Francisco Bay Area.

Over the years, Apple's Special Projects Group underwent several reorganizations, including layoffs in 2019, with affected employees reassigned within the company. Some personnel from the car division may transition to a generative artificial intelligence team. While discontinuing its car project, Apple maintains involvement in automotive-related initiatives like CarPlay, its widely adopted infotainment software found in 80% of new vehicles. Apple's foray into cars stemmed from an internal exploration of technologies with significant market potential. The company remains committed to developing health technologies, particularly for the Apple Watch, and recently launched its first virtual reality headset, the Vision Pro. While some Asian smartphone rivals have ventured into car design and potential manufacturing, Apple's stance on its car project remained cryptic.