Apple's progress on its secretive electric vehicle is likely a five-year plan. That's what Piper Jaffray analyst Gene Munster, who covers the company, is predicting about what's so far been referred to as "Project Titan." Munster, who put out an analyst note on the subject last fall, elaborated on his predictions with Apple Car Fans recently.
Specifically, Jaffray said Apple might start showing off the electric vehicle in 2019 or 2020, with sales commencing in 2021. He added that the car will be priced at about $75,000, putting it in the monetary neighborhood of today's base-priced Tesla Model S electric sedan. Like its other products, the car will be hyper-designed by Apple, but about 80 percent of the car's production will be outsourced, Jaffray says.
Munster is maintaining a relatively optimistic view of the upcoming EV, saying that the car has better than a 50-percent chance of seeing the light of day, although his caveat is that he was "wrong" in predicting the success of AppleTV. The analyst retains his optimism despite the fact that reports surfaced earlier this year that Steve Zadesky, who's been spearheading the project, may leave Apple. The former Ford executive worked on the iPod and iPhone before leading the electric-vehicle team.
Munster notes that Apple has a "sizable team" working on Project Titan. As of early last year, Apple had "several hundred" people working on the electric vehicle. That number may have ballooned to more than 1,000 by this year, according to AppleInsider, which may be why Zadesky's future with the company may be in question. Still, Apple is unlikely to abandon the project, because electric vehicle production represents an almost sure-fire source of revenue growth for the technology giant, Munster says. Do you agree?
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