Hyundai, Kia Deny Apple Tie-up
10 February, 2021
Hyundai and affiliate Kia on Tuesday denied studies that they are in foretells produce self-driving electric cars for Apple.
The announcement, in separate press releases by both carmakers, sent their shares into tailspin after a bonanza fueled by the rumors.
Hyundai shares plunged 6.2 percent and Kia's 15 percent. Hyundai, which owns Kia, before fueled the rumors by expressing a tie-up can be done.
Giving an answer to rumors that Apple will become a member of hands with Hyundai to co-develop self-driving EVs, the Korean automaker explained per month ago that it had been receiving requests from "multiple companies" but added that nothing have been decided.
But on Mon it said it really is "not found in talks with Apple," fueling speculation that exploratory talks ended acrimoniously.
Bloomberg reported last week that Apple "paused" negotiations with Kia since it was upset about leaks from the carmaker. But sector watchers say this might not exactly be the primary reason that resulted in the break down of negotiations.
There was seemingly considerable internal opposition at Hyundai more than the chance of producing EVs beneath the Apple company and whether that could benefit Hyundai's own brand image.
Hyundai and Kia have ambitions to be market leaders in electric powered autos under their own steam.
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