We wish Apple would acquire Tesla (if Tesla stumbles), bringing us the iCar
Tesla's New Year's Resolution... is fit for a black belt, Jedi Master, and Head Boy/Girl at Hogwarts. Elon Musk's electric car company always sets insane goals, but 2020 looks particularly crazy for Tesla:
- Scale production at the new Shanghai Gigafactory.
- Deliver the first Model Y crossover SUVs (it's been on pre-order since March).
- Succeed in China (Earth's biggest electric car market), despite America's ongoing trade war.
- Build a 4th Gigafactory near Berlin.
Tesla stock is at an all-time high... thanks to a surprise profit last quarter (despite broken window-gate). But Tesla is polarizing, and the stock could quickly turn south if Tesla's win streak goes on the fritz. If shares fall 50% (that's happened before), then Tesla would be worth $39B. That's where Apple comes in. Hear us out:
- Apple has $206B in cash as of its last quarter.
- Creation of an Apple car was rumored for decades, but hasn't happened.
- With iPhone sales declining, there's a perfect parking spot for the iCar on Apple's income statement.
- Plus, the 2 companies' HQs are just 9 miles apart (ETA to conference room is 9 minutes).
What about Elon?... If Tesla got acquired by Apple, Elon Musk would probably need to let Apple's CEO take the wheel. But Elon's leadership has been critical — he published the Secret Master Plan in 2006 and Part Deux in 2016. Apple would bring financial stability to Tesla, but possibly downshift Elon's revved up ambitions.