Fiat CEO advises Apple against building a car on its own

By , Mar 2, 2016

apple car concept

Fiat CEO Sergio Marchionne has a piece of advice for Apple regarding Silicon Valley’s worst-kept secret that it is building an electrical vehicle: don’t do it on your own but if you must, have an established car maker mass produce a custom vehicle for you according to your specifications.

“If they have any urges to make a car, I’d advise them to lie down and wait until the feeling passes,” Marchionne told journalists at the Geneva auto show.

“Illnesses like this come and go, you will recover from them, they’re not lethal,” he added.

Building cars is a “complex business,” he said before suggesting that there was sufficient capacity available among car makers to deal with Apple’s requirements.

Here’s former GM Vice Chairman calling Apple’s purported car project “a gigantic money pit” in an interview with CNBC in September 2015.

It was previously reported that Tim Cook and other Apple executives visited BMW’s i3 assembly plant in Leipzig, Germany in autumn 2014 to discuss the possibility of using the i3 as the basis for its own vehicle.

Meanwhile, Apple has quietly leased a 96,000-square-foot site in Sunnyvale, California which used to be Pepsi’s bottling plant. The facility is located in the neighborhood of a complex of warehouses and offices that Apple leased a year ago.

Apple’s electric vehicle project is reportedly developed in secrecy under code-name Project Titan. The initiative was led by Apple’s Vice President of Product Design, Steve Zadesky, who recently left the company for personal reasons.

When asked about Project Titan at Apple’s annual shareholder meeting last Friday, Tim Cook said, “Do you remember when you were a kid, and Christmas Eve, it was so exciting, you weren’t sure what was going to be downstairs? Well, it’s going to be Christmas Eve for a while.”

Source: Reuters

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  • Joey_Z

    Sounds like Android business model to me. Apple is likely to stick to their “people who are serious about software, make their own hardware” path. Selling Music and making cell phones used to be businesses with huge entry barriers, they still are, but that doesn’t mean it would stop Apple from revolutionizing it… We are talking about Apple here, who has the healthiest financials and can hire any experts with a price…

  • igorsky

    Tag Heuer CEO advises Apple not to build a watch on it’s own.

    • George

      They still failed on the Apple watch regardless of how many millions they sell. I hate the argument that oh it’s just a first gen.

      • If they made a profit they didn’t fail. As for the argument of it’s just a first gen it’s a valid point but a second gen product won’t fix all the issues either. A second gen product might come with more oomph thanks to faster processors but it’s battery life will still be woeful and that’s sadly just the way things are. Whoever revolutionises battery technology is guaranteed to make a lot of money.

      • TechToch

        It’s just a first generation

      • N&LH

        failed ??? hahaha

    • KOZY_Gremlin_Gang

      No one really has apple watches and this is different a car is an investment no ones gonna pay for an overpriced Apple car with a few extra phone features when they could just get a Benz with way more features that’s actually nice looking

  • techfreak23

    Technically, Apple doesn’t “build” anything. They are a design and software company that design products around mostly off the shelf components that are assembled by a third party manufacturer. Same thing with the chips in iOS devices. They take ARM’s initial design and customize it to their needs. Although they aren’t actually building these things themselves, the level of involvement at each step, forward thinking, and hardware/software integration is what makes their products so great and reliable. Definitely beats out the “one size fits all” philosophy that Google and Microsoft have in terms of reliability and fragmentation.

  • Vince Reedy

    Fiat says don’t build your own car, just let a random car company build you exactly what you want. Wink wink.

  • :D

    I’d say he’s just scared of the competition, but I don’t think Fiat would even be competing. The Apple car would probably be amongst the likes of luxury cars – that’s where the competition would be imo. I know it wouldn’t have been around for very long, but this is Apple we’re talking about. It’ll be good. And it’ll be expensive. Not like a Fiat.

    • KOZY_Gremlin_Gang

      No ones buying an apple car

    • QP

      FIAT owns AlfaRomeo, Ferrari, Maserati etc…

      • :D

        Hmm didn’t know that

  • MacNewton

    If Apple designs,manufactures and sells an eCar, that world will be a better for it. That said I think there just in it for the Self-Driving composites. Car manufactures will order in an Apple option package (software/computers/and Apple designed front end) and the car company will install it into selected cars. It will be just like any other option. Or maybe not …

  • TechToch

    Lol companies are scared of apple competition

  • iPhoneWINS

    Apple is rich and bored … iPhone is boring iPhone his boring