Mass layoffs at Apple. The company sunk billions into a project that ended in failure

Apple is laying off hundreds of people

The state Employment Development Department in California has just received a notice from Apple, in which the company informed that it is forced to initiate collective layoff procedures. As a result, as many as 700 people are expected to lose their jobs, the vast majority of whom recently worked on the project of an electric car with a bitten apple in the logo, which has been announced for many years.

The first information that the Cupertino giant intends to compete with Tesla from Elon Musk appeared already in 2014. Apple Car, also known as Project Titan, was supposed to be a real revolution in the automotive industry and one of the most ambitious products in the company's history. After ten years of work, Apple decided to abandon this project. The main reason for this decision is the weakening global demand for electric cars.

During these ten years, Apple spent over $10 billion on the development of its electric car project. Nevertheless, it turned out to be more profitable for the giant to completely abandon the project than to introduce a product to the market that would deviate from the industry's expectations, would be too expensive and, ultimately, would lose the competition with Tesla.

It's time for artificial intelligence

The company now intends to place greater emphasis on work on generative artificial intelligence, which – as can also be seen by the moves of many other top companies in the new technology industry – is currently the number one topic in Silicon Valley. Especially since Apple does not stand out in this respect yet compared to its most important competitors, such as Google or Microsoft.