As separate companies, Hyundai and Apple (NASDAQ:AAPL) have no chance to build market share in the electric vehicle market.
Hyundai has PHEVs in limited production and a KONA electric for 2021. Its platform, called E-GMP, is the basis for Hyundai and Kia’s global EV ambitions.
Apple has high-quality software and an operating system that supports Apple Car Play. That alone adds convenience for iPhone users. To make money from the growing EV market, Apple needs more. Early talks with Hyundai to develop an EV is a game-changer for both firms. Hyundai sells mid-quality, well-designed vehicles to the masses. Apple has a simple operating system that appeals to its users.
Together, the pair could shake up the EV automotive market. If the partnership bears fruit, then companies like Tesla, Nio, Xpeng, and Li Auto may face some serious competition globally.
Hyundai and Apple must first overcome cultural differences and learn to work collaboratively. If the distance is not an issue and the teams work virtually, it stands a chance. Still, joint ventures can fail, while focused firms like Tesla innovate faster than everyone else. If the pair fails to bring a product to market quickly, then the hype around the deal will fade.
