Apple building a car may be one of the most ridiculous ideas ever —according to a former General Motors (GM) executive.
Apple review, Apple commentary, Apple news... Everything AppleSpeaking to CNBC on Monday (video below), Bob Lutz, a longtime auto executive who worked at General Motors, said that it would be nonsensical for Apple to enter the car business, arguing that the move would create a "gigantic money pit." He added that "Apple has no experience" in the business, and therefore would likely not be as successful as traditional carmakers.
The comments are the second time a former GM bigwig threw cold water on an Apple Car. In February, former GM CEO Dan Akerson said that Apple getting into the car business would be a bad idea and annoy shareholders who would quickly find it to be "a low-margin, heavy manufacturing [business]."
Rumors about Apple building a car to rival Tesla's lineup have been swirling for well over a year. Tesla has actually poached some Apple employees, and Elon Musk confirmed informal talks between the two, but nothing was ever announced.
While Apple does not make cars, the company is trying to make its presence felt in the space. Its CarPlay allows auto makers to bundle its technology into their infotainment systems, much like Google's Android Auto.
Still, rumors persist that Apple is attempting to build a car. Recent reports say that the company has created a team of a few hundred people who are aiming to launch an electric car in 2019 or 2020. Apple, however, has not commented on the reports, save for a brief joke about it at its recent Sept. 9 event. So for now, expect more rumors—and more auto executives saying it's a bad idea.
Source: pcmag.com
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