Business
Apple announces layoffs after cancelling key projects: Report
Apple has confirmed the layoff of more than 700 employees in the wake of canceling two significant projects: the Apple Car initiative and the in-house development of Micro-LED displays. The layoffs, which were revealed through WARN (Worker Adjustment and Retraining Notification) filings in California, underscore Apple’s strategic shift away from certain ambitious ventures.
According to reports, the layoffs affect employees tied to projects like the Apple Car, Micro-LED display development, and even Siri operations. Notably, 58 employees from Apple’s Santa Clara office, previously associated with LuxVue Technology, a company specializing in Micro-LED displays acquired by Apple in 2014, are among those affected. Recent rumors suggested Apple abandoned plans to produce Micro-LED displays for the Apple Watch due to production challenges in meeting demand.
In San Diego, over 120 layoff notices have been filed, correlating with reports earlier this year of Apple shutting down a Siri data operations office in the region. This office was pivotal in assessing Siri’s responses and enhancing its accuracy. Employees impacted by this closure were reportedly offered relocation to Apple’s offices in Austin, Texas.
The closure of the Apple Car project, known internally as “Titan,” also contributed to the layoffs. Several offices involved in the development and testing of Apple’s electric vehicle were affected by the decision to discontinue the project. Apple had been pursuing the concept of an electric car since 2014 but encountered significant challenges that led to the project’s cessation earlier this year.
The strategic pivot away from these initiatives aligns with Apple’s broader focus on core products and services. While the Apple Car project held promise, the complexities and competition within the automotive industry ultimately led Apple to reassess its priorities. Similarly, the decision to forego in-house Micro-LED display development highlights the challenges in scaling production to meet Apple’s stringent quality and quantity standards.
It is worth noting that Apple is still interested in developing micro-LED displays in-house but they find it easier to outsource rather than do it in-house which is why they have put this project on the backburner as of now. Having said that, Apple’s Car project might have just been way too ambitious.
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