Apple hit the brakes on two ambitious projects in February 2024, leading to layoffs in California. The company decided to scrap its electric and autonomous car project and its efforts to develop next-generation display screens for smartwatches, as per a Bloomberg report.
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These cancellations weren’t sudden decisions. The report further added that Apple executives struggled to solidify a clear direction for the car project while grappling with its immense cost.
Livemint could not independently verify this news.
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The display screen initiative faced its own set of challenges, including engineering hurdles, difficulties securing reliable suppliers, and keeping production costs under control, as per the report.
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Over 600 employees in California lost their jobs due to these project closures. The majority of these layoffs happened at Apple’s main car project office in Santa Clara. However, smaller satellite offices also saw job cuts. While some impacted employees were fortunate enough to be relocated to other teams within Apple, focusing on areas like artificial intelligence and personal robotics, the overall impact was significant, the Bloomberg report added.
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Apple has remained tight-lipped about the exact number of employees affected by the layoffs. Additionally, the WARN notices filed with the state only reflect job losses in California. This suggests that the true scope of the reductions might be even larger, considering Apple likely had engineers working on these projects in other locations across the country, as per the report.
Notably, at least 87 of the terminated employees were stationed at a secretive Apple facility dedicated to developing next-generation display technologies. The remaining impacted workers were employed at various locations associated with the company’s now-scrapped automotive project.
According to the reports, 371 employees were let go from Apple’s primary car-related office in Santa Clara, California. It is reported that dozens more were impacted across multiple satellite locations. In some cases, former members of the Apple car team were reassigned to other projects, such as artificial intelligence or personal robotics initiatives.
(With Inputs from Bloomberg)
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Published: 05 Apr 2024, 06:38 AM IST