Apple Will Lay off More than 600 Workers after Halting the Car Project

Source: Gasgoo

According to foreign media reports, a new statement shows that Apple will lay off 614 people in California and its the company’s first major round of layoffs since the co-virus pandemic.

 

Apple’s 614 employees in multiple offices were officially notified of the layoffs on March 28, and the layoffs will take effect on May 27. According to another foreign media report, the positions being cut at Apple include machine shop manager, hardware engineer and product design engineer.

 

A few weeks ago, Apple canceled the car project. While the California notice doesn’t mention specific projects where Apple is laying off workers. None of the locations mentioned in the statement are at Apple’s headquarters Cupertino but at smaller offices that are more likely to be a secret projects.

 

In a recent regulatory statement, Apple said it has about 161,000 full-time employees. Representatives of Apple refused to comment on the latest report.

Image source: Apple

Previously, Apple felt it needed to find new ways to expand its business. Apple expects iPhone sales to slow in the coming years, and the fact that cars are part of the $2 trillion transportation industry that could help Apple.

 

Media also said that Apple’s decision to build car owners is to retain employees. Apple had just finished work on the Apple Watch, and many engineers were eager to start working on a new product. CEO Tim Cook approved the project in part to prevent engineers from defecting to Tesla.

 

However, Apple recently canceled the car project. Apple management has decided to devote the company’s time to researching generative AI rather than cars.

 

Apple plans to apply its experience in artificial intelligence and autonomous driving to other technologies, including AI-powered AirPods and robotic assistants.

 

At the time, Apple said that some members of the automotive team would be transferred to work in artificial intelligence. Some team members have also been told they need to apply for other positions within the company.

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