Apple should work with carmakers instead of building vehicle on its own, Fiat Chrysler CEO says

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Comments

  • Reply 41 of 59
    rob53 said:
    What new ideas have come out of the major car makers since Henry Ford's days? Not much. The only differences are cosmetic and a few engine upgrades. Nothing major.

    Err, Citroën. The original company that is, rather than the empty husk remaining today.
  • Reply 42 of 59
    bcodebcode Posts: 139member
    The whole industry has given Apple the cold shoulder for years -- opting for their own, half-assed "entertainment" solutions instead of giving their customers what all asked for; iPod integration. Now that Apple's rumored car is starting to sound real, they all come clambering for a partnership. Too little, too late if you ask me.
    palominecornchip
  • Reply 43 of 59
    foggyhillfoggyhill Posts: 4,767member
    tjwolf said:
    badmonk said:
    Who said Apple would do it alone at the end of the day?  So an electric car is not much different than Apple's other product lines...computer, battery technology are the things that challenge conventional car manufacturers and these things (plus indistrial design) are Apple strong points.

    An electric engine, chassis, wheels, brakes and steering seem like the issues they may need outside help with.  But they can buy these intellectual sets on the market.

    Manufacturing will be a non-issue as this will be contracted out as usual.

    Without labor costs, a bloated executive class and legacy retirement funds to worry about, Apple will do fine.

    Of course there's labor cost - it's just part of the manufacturing outsourcing you speak of.  But who would they outsource assembly to?  It's not like there are generic "car assembly" plants around - the ones that exist belong to existing car manufacturers who would hardly agree to manufacture a competitor's car!

    I doubt Apple will ever build a car - the margins aren't anywhere near what it currently gets.  I think they'll simply expand CarPlay to include options such as "driverless car".
    I think it's time you get with the time, contract manufacturers for whole cars have been on the rise for years.
    Not surprising since many of them were already doing most of the parts, like
    Actually, there are a lot of contract manufacturers these days and plenty of cars are done that way. This is the future.

    MAgna Steyr's is one of them, making Mercedes G class, Mini Countryman, Paceman,
    In the past, they did BMW X3, Mercedes E class, Jeep Grand Cherokee, Chrisler 300C, Aston Martin Rapide
    They were even supposed to get Porsche Cayman until VW switched it at the last minute to their own plant.

    BTW
    The margins of phone were a lot lower too before Apple got in; well, you know how that turned out.

    The premium makers, and the premium brands of major makers make about 10% margin, 15% for Porsche.
    But, in electric cars, which are more like consumer electronics to build, these margins could go up to 20% easy.

    Considering that cars is one of the biggest revenue industry that exists, one ripe for major disruptions, and industry were brand is a major asset and and industry moving towards both contract manufacturing and being more like consumer electronics; Apple seems like a good fit.

    cornchipbadmonk
  • Reply 44 of 59
    foggyhillfoggyhill Posts: 4,767member
    jannl said:
    tjwolf said:

    Of course there's labor cost - it's just part of the manufacturing outsourcing you speak of.  But who would they outsource assembly to?  It's not like there are generic "car assembly" plants around - the ones that exist belong to existing car manufacturers who would hardly agree to manufacture a competitor's car!

    I doubt Apple will ever build a car - the margins aren't anywhere near what it currently gets.  I think they'll simply expand CarPlay to include options such as "driverless car".
    Think there're generic "car assembly" plants around. Know about an assembly line who makes the new (BMW) Mini (after first "making" DAF, Volvo, Mitsubishi)
    Yes, contract manufacturing is on the rise in this industry, which makes sense since most of what makes a car is pretty generic at the tech level, especially assembly.
    cornchip
  • Reply 45 of 59
    josha said:
    rob53 said:
    What new ideas have come out of the major car makers since Henry Ford's days? Not much. The only differences are cosmetic and a few engine upgrades. Nothing major. Tesla made a huge leap with better batteries and a power system that puts ICE vehicles to shame. Give Apple a chance to use its engineering and design abilities to see what they can do before blowing them off. 
    Yes Tesla has greatly improved electric cars, but they have yet to make money by themselves, without other help.
    Up to now Tesla cars have been rich people's toys, not practical for urban driving where they fit best.
    Electric high speed sports cars are not needed for  urban use.
    Also local service is needed.
    I've been watching Tesla and hoping they produce an urban car we could use. 
    Since we do some long distance driving, we'll have our second car gas for that use.
    This is total horse caca.

    Tesla IS making LOTS of money, and they're investing a big chunk of it in infrastructure: Supercharging stations blanketing the whole country. Not cheap. What other car company is or will be doing that in the foreseeable future? Personally I think Porsche's MissionE is a beautiful design, but where can Porsche owners charge these on cross-country trips? I wouldn't be surprised if they strike a deal with Tesla for use of their stations.

    Quit whining about rich people. All you have to do is make more money. Tesla's prices are NOT out of reach of people who work hard and smart and don't waste their money.

    Tesla's cars work GREAT on urban streets. Very smooth, quiet, and controllable. Tesla's autopilot is working out nicely, too. Statistics will someday show all the accidents autopilot has helped drivers avoid. WITH all that power and all wheel drive and traction control, drivers will have high speed maneuverability to further avoid accidents.

    Local service IS available at my Tampa dealer. AND oil changes are essentially NOT needed!

    The problem with "poor people" is that they spend too much time waiting. Get out and DO something instead.

    By the end of this year, Tesla will have installed enough Supercharger stations along most major highways to enable Tesla owners to drive long distance almost anywhere they want to go FOR NO FUEL COST!!

    So really, what do you have left to whine about?
    edited March 2016 cornchip
  • Reply 46 of 59

    Apple doesn't build anything - Apple engineers great products and contracts third party companies for assembly.
    Oh yes they do!

    Many thousands of manufacturing companies pay OEMs to make their parts. In Apple's case, Apple also designs most of those parts and the OEMs work to those specs.

    The basic "work for hire" concept is that the hiring or paying company OWNS the products and the rights to that which is made.
  • Reply 47 of 59
    Sergio is concern trolling, hand-wringing over Apple's doom. Leave carmaking to the old guard. Look at the beautiful, elegant iPod phone Apple got from its partnership with Motorola: the ROKR. Don't get into the phone business, Apple, or you'll wreck yourself!
  • Reply 48 of 59
    foggyhillfoggyhill Posts: 4,767member
    Sergio is concern trolling, hand-wringing over Apple's doom. Leave carmaking to the old guard. Look at the beautiful, elegant iPod phone Apple got from its partnership with Motorola: the ROKR. Don't get into the phone business, Apple, or you'll wreck yourself!
    Check Yo Self before Yo wreck yourself as Ice Cube would say to Apple ;-). They disregarded this advice.
  • Reply 49 of 59
    russwrussw Posts: 15member
    I think this is a brilliant strategy by Apple. Don't say exactly what you are doing and let others (including auto manufactures) believe you're going to do the whole thing like Tesla. Puts Apple in a good bargaining position when they want to team up on a full car. Beside that- many (most?) manufacturers outsource various systems inside their cars. Airbags, ABS systems, engine control systems, etc. already so maybe Apple comes up with a driverless car system that can be integrated into various cars.
  • Reply 50 of 59
    katastroffkatastroff Posts: 103member
    Apparently the phone business was also really impossible to crack without any experienced partners.
    quadra 610cornchip
  • Reply 51 of 59
    snovasnova Posts: 1,281member
    Chrysler has always produced cars which were sub par compared to the competition with a few exceptions which were wonderful.  With Fiat's help they have somehow managed to get to new lows..     Why in the world should Apple listen to someone who is driving Chrysler into the ground?   its avery very sad. 

    Renault is having the same effect on Nissan.   :'(   Stay as far away from Chrysler and Fiat as possible... with the exception of Ferrari and Lamborghini of course.  
    edited March 2016
  • Reply 52 of 59
    Urei1620Urei1620 Posts: 88member
    Sounds like a great idea. Perhaps Apple could partner with Elon Musk and Tesla.
  • Reply 53 of 59
    focherfocher Posts: 645member
    Apple doesn't build anything - Apple engineers great products and contracts third party companies for assembly.
    Apple outsources the labor, but they totally define and control the manufacturing. 
  • Reply 54 of 59
    focherfocher Posts: 645member
    tjwolf said:
    badmonk said:
    Who said Apple would do it alone at the end of the day?  So an electric car is not much different than Apple's other product lines...computer, battery technology are the things that challenge conventional car manufacturers and these things (plus indistrial design) are Apple strong points.

    An electric engine, chassis, wheels, brakes and steering seem like the issues they may need outside help with.  But they can buy these intellectual sets on the market.

    Manufacturing will be a non-issue as this will be contracted out as usual.

    Without labor costs, a bloated executive class and legacy retirement funds to worry about, Apple will do fine.

    Of course there's labor cost - it's just part of the manufacturing outsourcing you speak of.  But who would they outsource assembly to?  It's not like there are generic "car assembly" plants around - the ones that exist belong to existing car manufacturers who would hardly agree to manufacture a competitor's car!

    I doubt Apple will ever build a car - the margins aren't anywhere near what it currently gets.  I think they'll simply expand CarPlay to include options such as "driverless car".
    The only thing you're right about is whether they'll actually decide to launch a car in the market. The rest of your post just ignores every fact that's been revealed during the last year. And exhibits an amazing amount of willful ignorance about contract car manufacturing. It exists and is used by car companies already. See https://en.m.wikipedia.org/wiki/Magna_Steyr
  • Reply 55 of 59
    quadra 610quadra 610 Posts: 6,744member
    John C. Dvorak in 2007, on the iPhone:

    "There is no likelihood that Apple can be successful in a business this competitive," he said. "If it's smart it will call the 
    iPhone a 'reference design' and pass it to some suckers to build with someone else's marketing budget. Then it can wash its hands of any marketplace failures."
    cornchip
  • Reply 56 of 59
    MichitoMichito Posts: 1member
    snova said:
    Chrysler has always produced cars which were sub par compared to the competition with a few exceptions which were wonderful.  With Fiat's help they have somehow managed to get to new lows..     Why in the world should Apple listen to someone who is driving Chrysler into the ground?   its avery very sad. 

    Renault is having the same effect on Nissan.   :'(   Stay as far away from Chrysler and Fiat as possible... with the exception of Ferrari and Lamborghini of course.  

    Lamborghini belongs to the Volkswagen group and is managed by Audi
    cornchip
  • Reply 57 of 59
    dasanman69dasanman69 Posts: 12,984member
    Apparently the phone business was also really impossible to crack without any experienced partners.
    Apple didn't make a phone. They made a mobile computing device that could make phone calls. Can they make something that's so much more than a car? Can they reinvent, or reimagine the automobile? 
    edited March 2016
  • Reply 58 of 59
    quadra 610quadra 610 Posts: 6,744member
    Apparently the phone business was also really impossible to crack without any experienced partners.
    Apple didn't make a phone. They made a mobile computing device that could make phone calls. Can they make something that's so much more than a car? Can they reinvent, or reimagine the automobile? 





    ;)
    dasanman69
  • Reply 59 of 59
    cnocbuicnocbui Posts: 3,613member
    Like the guy but simply put, ``FU.''

    Starting making quality All-Electric cars, en-masse already, you gas guzzingly piles of crap.
    Battery technology isn't close to being there yet.
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