According to the NY Times, Apple is laying off employees from its self driving car business unit. As to the full implication of the move, the article offers little. Still, I don't believe that Apple should be adding car manufacturer to its line of business. Cars are not phones or computers. There is much more to the manufacturing process.
But I do hope that Apple continues to invest in technology that can be licensed to every car manufacturer, from Ford to Tesla. Whether it is Apple Music in the entertainment system or Siri offering voice recognition and assistance to the driver. Apple can license its iPad screen to be installed in every car and truck and help GM, Chrysler and others improve their dashboard. Be a partner, not a competitor to the car industry.
To investors, Apple has indeed become a value stock, not a growth company. It has yet to surprise us with new technology that drives consumers to rush to purchase. The Apple Watch, or iWatch as I still prefer to call it, is trying to gain that full appeal, but hasn't yet. Many doubt that the Series 2 version will cause Holiday sales to explode. And the consideration to be a car manufacturer strayed to far from its core business. With its huge cash reserves Apple can buy any company it wants. If it truly wanted to be in that business, it might have been better to just buy Tesla or Ford, not that I believe they should.
So good luck Apple, it is now time to really impress us with some important news. How about an October press conference to reveal some secret new consumer product. That might just make the stock rise dramatically.