By now … we have all heard about Google’s Autonomous (Self-driving) car. If you haven’t … look here.
We also hear rumors that Apple is working on something car-related. So, it make you wonder … why does it seem like the next big revolution in the automotive industry appears to be from companies like Google and Apple? Or is it just their PR machine at work?
What do companies like Apple and Google have in common? They have resources, I’m sure hiring at Apple and Google has been off the charts for the last few years. They have money, just look at the value of their stock! They have tremendous brand recognition, being two of the most famous and valued brands in the world today. They have massive mindshare and over the years, have built up alliances with several companies in various industries.
However, what does that mean for them when it comes to cars? There is more to it than just wanting to get into the market. What about the design of the car, its ergonomics, if they are electric vehicles, what about battery technology, if they are gas driven, what about fuel efficiency and engine technology? Tesla withstood as an electric vehicle company for years before making somewhat of a breakthrough in the market. Even Tesla’s current cars though, are a little too expensive for the lay person.
What are the core competencies of tech companies like the Googles and Apples of the world, compared to the OEMs of the world? These tech companies have developed amazing technology, and as can be seen from the cars of today, there is certainly a fit. The one thing they don’t have though, is the manufacturing expertise of the car companies. Automotive OEMs know how to cost effectively crank out vehicles, given their infrastructure and the vast network of tiered suppliers. Not to mention, OEMs have skilled vehicle designers who understand their customers and the market they serve.
What’s the best of both worlds for the consumer? An Alliance. Bringing the technology of Google and Apple to the car manufacturers of the world, to create vehicles that look good, are safe, secure, but have the technology to make them amazing. Whether it is autonomous vehicles, the self-driving car or the technology to make all that happen … a partnership would serve the consumer the best. You can’t always ride the coat tails of a brand name.