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Saturday, March 5, 2016

Fiat Chrysler CEO: Apple Inc Better off Out-Sourcing Its Autonomous Car



Many believe that tech giants such as Apple and Google lack expertise in the dynamics of car making

There appears to be rapid progress in autonomous driving technology, and the headway tech companies already possess algorithms necessary for smooth functionality. However, many believe that tech leaders such as Alphabet Inc (NASDAQ:GOOGL) and Apple Inc (NASDAQ:AAPL) lack expertise in the dynamics of car making.

Ever since the news of a self-driving gizmo broke out, people have suggested repeatedly that tech companies, which pioneer in the Artificial Intelligence (AI) required to operate the autonomous car, will at some point need to partner with a conventional automaker since they know what a consumer is looking for in a vehicle.

At the Geneva Auto Show’s press day, Fiat Chrysler CEO Sergio Marchionne said that the car makers are more than equipped to handle such a venture and pointed out that it would be a much more efficient step for Apple rather than getting into the intricacies of the automobile industry.

Mr. Marchionne described the tech giant’s intentions towards an Apple Car, which is developed in-house, as a disease. Further elaborating on his analogy, he stated that “Illnesses like this come and go, you will recover from them, they're not lethal."

While Mr. Marchionne’s suggestion does make sense, he seems to forget Apple’s ability to surprise the world. Apple, though recently surpassed by Google’s parent company Alphabet Inc., is one of the most valuable companies in the world with distribution and operations in almost every corner.

Given its aforementioned magnitude, it seems quite unlikely that the California based company will trust anyone else with the integrity and perfection of its product. More so, it is quite apparent that Apple has ample resources to develop a team that would poise it for an entry into the automobile industry.

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