Apple is reportedly planning to invest $ 3.6 billion in Kia. It should benefit car manufacturing for Apple in the US.
That claims the Korean news website DongA.com at least, without specifying sources. Both companies are still keeping their jaws tight for the time being. According to the South Koreans, Kia and Apple sign the deal, which has a converted value of more than € 3 billion, definitively on February 17. The two parties will work together to build an electric car for Apple, for which Kia will leverage its production capacity. The parties are reportedly aiming to build 100,000 cars per year by 2024, to later expand that capacity to 400,000. Apple and the Hyundai Motor Group, of which Kia is part, wanted to speak to the news agency Reuters do not respond to the reporting.
Whether the rumor is true or not should be revealed around February 17. Investors seem to be relying on it in any case, because the market value of Kia shot up by 14.5 percent to almost € 80 per share. Incidentally, this rumor is not completely out of the blue: the Hyundai Motor Group and Apple seem to be flirting with each other for some time. Earlier, the Kia factory in the US state of Georgia was mentioned as the place where the Apple car could possibly roll off the assembly line. Sources within Apple have also reported that the tech company wants to market its own car, which is now known as ‘Project Titan’, in 2024. All in all, there seems to be something in the air between the two companies, but a final announcement with more detailed plans will be delayed.