Wednesday, 21 October 2015

Why Tesla And Apple Are Poised To Become The Coke And Pepsi Of The Auto Industry



Apple's Tim Cook made a contentious statement yesterday that the car industry is poised for a massive change--and... Well, there was nothing much said after that. 

We know, however, that Apple is poised to be the change they want to see... well, you know how that one goes. In a breaking story on MacRumors on August 21, 2015, "Apple recently hired a senior engineer from Tesla Motors, presumably to work on its secret car project," as originally broken by Reuters which, along with Jamie Carleson of Tesla, added other engineers to the story from such companies as Volkswagen and academic institutions as Carnegie Melon. The poaching of Carleson by Apple drew the ire of Tesla CEO, Elon Musk, who made such claims as "Apple is the graveyard where engineers go to die," and, in a recent column in MarketWatch, he was quoted as stating that Apple is hiring engineers that Tesla has fired. 

“Important engineers? They have hired people we’ve fired. We always jokingly call Apple the ‘Tesla Graveyard.’ If you don’t make it at Tesla, you go work at Apple. I’m not kidding.”

- Elon Musk

However, while Musk has mud-slung Apple for some time, he did state that the car would be the next logical move for Apple.

Now Tesla is facing a drop in share-value, given Consumer Report's withdrawing its recommendation of Tesla's Model S, albeit contentiously. Will Tesla and Apple become the Coke and Pepsi of the automobile industry? We'll see. It could be the case that Tesla provides the momentum that Apple steals and takes what Tesla has worked desperately hard to accomplish well beyond it. Not an unlikely scenario.

This blog has been reporting on the emergence of the Apple car and its position to completely demolish the auto industry. The Tesla graveyard remains a place that could swallow up the likes of Volkswagen, BMW, Mercedes, and others. We have to see; but the change is coming, and no company can disrupt as brilliantly as Apple.

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