Tesla Bull Lauds Apple Pulling Plug On EV Project For AI Initiative: 'Smartest Thing They Could Do'

Tesla investor Ross Gerber hailed Apple Inc.’s AAPL decision to cease its electric vehicle (EV) project and redirect resources towards Vision Pro, their artificial intelligence initiative.

What Happened: Gerber, CEO of Gerber Kawasaki Wealth and Investment Management, shared his thoughts on Apple’s recent move during the Last Call on CNBC. 

“I knew they were never gonna do a car,” Gerber said

“They don’t want to be in this business and they’ve made a clear commitment to Vision Pro. Moving this team over to AI is the smartest thing they could do. So, this is a good move for Apple.”

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Why It Matters: The decision to abandon the EV project has received support from prominent analysts. Wedbush analyst Dan Ives echoed Gerber’s sentiments, stating that the rapidly evolving EV landscape played a significant role in Apple’s decision.

In the past, there were discussions of Apple potentially absorbing Tesla Inc., but the dialogue never materialized. Apple’s recent move underscores the company’s shift in strategy towards AI, reflecting the changing dynamics of the tech industry.

Gerber has previously commented on Apple’s missed opportunity to invest in Tesla and expressed relief at Apple’s decision to redirect its focus.

“About time they throw in the towel on this mess,” Gerber stated regarding Apple’s EV project.

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Photo courtesy: Apple