Investment firm Bernstein has speculated that if Apple ends up releasing its own electric vehicle by 2025, it could sell as much as 1.5 million cars by 2030, CNBC News reports.
Bernstein added that electric vehicle sales could potentially add roughly $75 billion in revenue and effectively double Apple’s overall growth rate. Although the iPhone maker is yet to officially announce its vehicle plans, its car initiative dubbed as ‘Project Titan’ has reportedly been in the works for years.
“A successful EV launch from Apple would add a formidable, well-capitalized competitor to the automotive industry,” analysts led by Arndt Ellinghorst said in a note to investors.
“Given its revenue base, few addressable markets are sizeable enough to impact Apple’s financials, but the auto sector offers a uniquely large, addressable consumer market,” the note said.
The firm compared Apple’s potential entrance into the auto sector with its arrival in the smartphone market years ago with the iPhone. Incumbent phone-makers like Nokia and Blackberry were most hurt, while newer vendors like Samsung and HTC actually benefited, Bernstein said.
Bernstein values the auto market at more than $2 trillion and says Apple’s interest in the sector “makes sense.”