Apple reportedly will not go ahead with plans to build a car after spending billions of dollars and nearly a decade on it. But in the end it’s likely a good thing for the tech juggernaut.
Improved earnings estimates for a few select tech companies show why their stocks are outperforming peers.
Apple (AAPL) has halted its decade long project to develop an electric car, according to a Bloomberg report. Senior Columnist Rick Newman notes Apple's profit margin on smartphones and software is far above that of automakers'. He says full-scale auto manufacturing "doesn't fit with [Apple's] business model" given the complexities of the market. With the Apple car now scrapped, Senior Tech Editor Dan Howley explains Apple's intentions to redirect investments towards generative AI and machine learning. For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live. Editor's note: This article was written by Angel Smith