In a surprising turn of events, Apple has reportedly canceled its long-standing electric car project, known internally as Project Titan, according to a report by Mark Gurman of Bloomberg. This decision, announced internally on Tuesday, ends over a decade of development on one of Apple‘s most ambitious endeavors.
The news caught nearly 2,000 employees working on the project by surprise, with the announcement coming from Chief Operating Officer Jeff Williams and Vice President Kevin Lynch. These employees will be reassigned to Apple’s artificial intelligence (AI) division, led by John Giannandrea. Their focus will shift towards generative AI projects, a burgeoning field with growing significance for Apple.
This shift doesn’t come without its implications. While some team members may find opportunities within other divisions, layoffs are expected, with the exact number yet to be determined.
The cancellation marks the end of Project Titan, a multi-billion dollar effort to develop a fully autonomous electric vehicle equipped with advanced features. The project, which began around 2014, faced numerous challenges throughout its existence, including leadership changes and strategic shifts.
Despite testing self-driving technology since 2017, Apple reportedly encountered difficulties in overcoming the technical hurdles required for widespread adoption. Additionally, a cooling off in the electric vehicle market, with other automakers facing similar challenges due to sluggish demand and production issues, likely contributed to the decision.
Analysts suggest that Apple’s shift to generative AI aligns with its long-term strategic goals. By redirecting resources towards AI, Apple aims to tap into potentially more lucrative revenue streams compared to the highly competitive and resource-intensive automotive industry.
This decision signifies a significant moment for Apple, marking the end of a major project and redirecting focus towards a different technological frontier. While the future of the laid-off employees remains uncertain, Apple’s commitment to artificial intelligence suggests a continued push for innovation in new and potentially transformative areas.
