Steve Jobs always wanted to build an Apple iCar to take on Detroit.
The chances of that happening, after Jobs’ untimely passing, however, seemed unlikely. Now, though, Andaan Ahmad, analyst at German investment bank Berenberg, is calling on Apple to buy Tesla Automotive to shake up not only Apple but also the automotive industry.
In an open letter to Apple chief executive Tim Cook and chairman Arthur Levinson, Ahmad urges Apple to purchase the upstart electric carmarker Tesla Automotive to reignite the American auto industry and accelerate the industry-wide switch away from gasoline-powered cars to electrified hybrids and EVs.
In the future, smartphones and other mobile devices, Ahmad argues, won’t give Apple enough revenue growth sustain the company.
Additionally, Ahmad also sees Tesla co-founder and CEO Elon Musk as an “innovative presence like the late Steve Jobs,” according to CNN.
“You could strike up a partnership and obtain a new iconic partner to lead Apple’s innovation drive,” Ahmad wrote in his letter to Apple’s brass.
While I think Ahmad is onto something, especially honing in on the innovative genius of Musk, I think he’s missing a larger automotive point.
Yes, Apple should buy Tesla and take Musk on board. And, yes, Apple should make stylish, powerful, electric cars on par with its modern computing products. Heck, even consumers would rather have a self-driving car from Apple than Nissan. So that argument alone is a no-brainer.
Ahmad’s argument that the American auto industry as a whole – and the EV and hybrid automotive subset – needs acceleration is misinformed.
Ford and General Motors are leading the way in hybrid and automotive electrification. Both American automakers offer a wide range of hybrid, plug-in hybrid, and EVs.
Plus, GM and Ford have reopened many American-based assembly plants in recent years, further reinvigorating American manufacturing.
So, no, America doesn’t need Tesla and Apple’s help to go green or to grow the American auto industry.
Apple, however, would benefit hugely from a Tesla acquisition.
I don’t know about you, but I’d love to drive to the interplanetary airport in my Apple iCar for my trip into space in a SpaceX shuttle…powered by Apple.
That sounds dandy indeed.
