Apple partner Foxconn to begin making cars in U.S.

Photo by Mink Mingle on Unsplash

Foxconn has confirmed plans to begin manufacturing electronic vehicles in the U.S. and Thailand next year, with mass production set to begin in 2023.

Apple Drives into view?

Apple’s longstanding manufacturing partner, Foxconn is known to be exploring vehicle manufacture to help maintain profitability as smartphone sales slow. The company intends to make semiconductors, components, parts, software and to offer final product assembly for EV manufacturers.

Foxconn has also built an open EV platform which it calls the MIH EV Open Platform. The platform is intended to help reduce development time for manufacturers choosing to enter the space and provides key designs for chassis, electronics, and support for autonomous driving.

What’s interesting for Apple watchers is that it is thought the company’s plans for its own Apple Drive have been hindered because existing car makers have been hesitant to work with Cupertino. They know Apple’s history and recognise the scale of the threat it could become.

This has apparently driven the company to reach accords with smaller players, such as Magna. Might Foxconn be moving into the breech? The latter firm confirms it’s also considering opening up for manufacture in Europe, though hasn’t said where.

Getting the team back together

Apple’s plans for the car appear to be gathering steam. Apple has hired some key employees, including long term leaders from BMW and Porsche. The company has also put its Apple Watch architect, Kevin Lynch at a senior position within the Apple Car team. Formerly of Adobe and Macromedia, Lynch is a details man with an extensive knowledge around the application of industry standards in key products. That kind of experience is going to be of immense importance when it comes to putting new takes on the motor car safely on roads.

The company also seems to be making decisions around manufacturing.

For example, it is thought to be insisting that battery production be based in the U.S., with Foxconn seen as being in a good position to do this at its new factories. Foxconn’s existing relationship with Apple is also seen as a valuable seal to such a deal. The Korea Times recently claimed the Apple Car team met with several manufacturers in that country to discuss potential manufacturing supply deals. There have also been rumors around a deal with LG, Hyundai and others.

There was talk Apple may make use of Hyundai’s E-GMP design, we don’t know if that happened

“Apple officials have been in Korea for business talks with its Korean partners in the semiconductor and display sectors,” a source told the publication. “As seen in Apple’s smartphone business, the company is seeking business partners in Korea for its EV business. Without partnerships with Korean vendors, Apple won’t be able to complete its EV business plan. As far as I know, Apple has talked with LG, SK and Hanwha, but the talks are still in the early stages.”

The change agency

Reading between the lines, it’s looking like Apple may plan to begin manufacturing its vehicle in late 2023/2024. When Apple introduces the Apple Car it will begin the most disruptive change cycle ever to have hit the post horse transport industry. Find out more about Apple Car here.

Photo by Mink Mingle on Unsplash.

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