Apple is negotiating with South Korean partners to develop a car
Apple is negotiating with South Korean partners to develop a car

The "Korea Times" newspaper reported that the American technology giant Apple is entering the field of electric cars.

The electric vehicle segment is expected to be the driver of future growth as the company has approached several Korean electric vehicle component manufacturers.

Last year, there was news that the company was planning to get into the electric car business as an upcoming business venture.

While the company is insisting on its strategy of not relying on its own manufacturing facilities for its smart devices like the iPhone and iPad, the US tech company is also planning to outsource its electric vehicles.

A new report says South Korean manufacturers of electric car batteries and other components could benefit from Apple's business strategy.

An industry director directly related to the case told the Korea Times, “Officials from the company are in South Korea for business discussions with South Korean display and semiconductor partners. As we have seen in the smartphone business, the company is looking for business partners for its electric vehicle business in South Korea. .

"If there is no cooperation with Korean suppliers, Apple will not be able to finalize its electric car business plan," he added. As far as I know, the company has spoken to LG, SK Group, and Hanwha Group. But negotiations are still in their infancy.

The iPhone maker reportedly sent members of the electric car business project team to South Korea to meet with representatives from SK Group and auto parts manufacturers.

These reports support Apple's ability to collaborate with South Korean companies on electric vehicles.

Apple and SK Innovation, the SK Group's electric car battery maker, held a high-level meeting. He also held meetings with LG, which recently established the LG Magna e-Powertrain joint venture, and Canadian auto parts maker Magna International.

Apple in negotiations to develop its own car

Representatives from SK Group and LG Electronics said it was difficult to confirm whether such meetings had taken place.

The Korea Times first reported that the LG Magna e-Powertrain will win one-off orders for Apple's first-generation electric car.

The American company plans to use LFP lithium iron phosphate batteries. Overheating is not possible. Therefore, it is much safer than the lithium-ion batteries currently made by most Korean battery manufacturers.

Lithium iron phosphate (LFP) will perform worse than lithium-ion batteries at lower temperatures. But it is cheaper.

Chinese manufacturers occupy a leading position in the production of LFP batteries as there is no Korean factory that manufactures batteries.

While Korean battery companies do not manufacture LFP batteries, Chinese battery manufacturers are at the forefront of the LFP battery business. Reviews indicate that Apple may use LFP batteries from Chinese manufacturers.

According to the China Automotive Battery Research Institute. Last year, Chinese battery manufacturers such as CATL and BYD launched LFP batteries with a capacity of up to 30.8 GWh. This corresponds to 47% of the total market for electric vehicle batteries.

However, South Korean battery manufacturers should benefit from the US company's electric car project. The reason for this is the escalation of the trade dispute between the United States and China.

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