With word recently leaking that high ranking officials from Apple and Tesla have met, observers have been whipped up into a frenzy about what the two parties, from two very different industries, could have discussed. But there is one major tech component that is especially crucial to both Tesla and Apple: Batteries.
When talks between Tesla CEO Elon Musk and Apple’s mergers and acquisitions chief were first revealed on Sunday, immediate speculation centered around whether Apple, with some $160 billion in cash, would buy Tesla, which has a market cap of about $24 billion. Most, however, have dismissed that possibility, and are instead focused on potential partnerships between the two companies.
One possible alignment could be for Apple to offer tighter integration of its iOS devices with Tesla’s vehicles, or even to help design the user interface, which is already heavily reliant on touchscreens. However, that move would have limited reach for Apple, which sells tens of millions of devices every quarter, while Tesla for now remains a high-end brand with limited mass-market appeal.
Read more here.