Tesla Inc TSLA and Apple Inc AAPL customers are “losing out” as the two companies emerge as ever potent rivals, as per technology analyst Mark Gurman.
What Happened: Gurman made his observations in the latest edition of his newsletter, noting that both the Tim Cook and Elon Musk-led companies have a lot in common so much so that Tesla’s vehicles are referred to as “iPhone on wheels.”
“But for Apple users, the experience of owning a Tesla can be frustrating,” wrote Gurman.
The technology journalist pointed to the fact that Apple Music is not accessible through a dedicated app in a Tesla even though the same is offered for the app from Spotify Technology SA SPOT.
See Also: How To Buy Apple (AAPL) Shares
“While you can control volume and skip tracks, you can’t easily access your entire library or find playlists the way you can with other cars. The most you can get is a list of songs from the current playlist or album,” Gurman wrote on the Apple Music experience in a Tesla.
Gurman noted that the iPhone maker’s CarPlay feature and Android Auto, a similar offering from Apple-rival Alphabet Inc’s GOOGL GOOG Google were both missing from Tesla’s dashboard.
Why It Matters: Rumors of an Apple Car have resurfaced lately, with a Digitimes report claiming that the tech giant was in Asia talking with potential partners and suppliers regarding its self-driving car project.
Gurman wrote that the decision to not include CarPlay and Apple Music come down to the carmaker rather than Apple.
As per Gurman, “Tesla doesn’t want to give up control of its interface," adding, “Perhaps Tesla is worried that adding CarPlay could expose users to Apple services and therefore be a risk when Apple eventually ships its own vehicle.”
Other than Apple Music and CarPlay, Gurman noted that the two companies could align on TV+, Apple Podcasts, and Apple Maps. He said Apple could offer Tesla “deeper integration” in the form of “better highlighting” the automaker’s network of chargers.
Gurman made note of the fact that Tesla already offers Netflix Inc’s NFLX service on board.
The analyst said that the biggest barrier to an Apple and Tesla accord is Musk while pointing to past statements of the CEO.
At Tesla’s second-quarter earnings Musk took a few digs at Apple for the use of Cobalt in its batteries and on its App Store policies.
On the prevailing situation, Gurman concluded, “There is clearly some strain between the two companies. But for now, the main people losing out are consumers.”
Price Action: On Friday, Apple shares closed 0.42% higher at $154.30, while Tesla shares closed 0.16% higher at $733.57 in the regular session.
Read Next: 2 Apple Self-Driving Cars Said To Be Involved In Accidents Last Month
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