Why Merger Is Not A Solution For The Growing Rivalry Between Apple And Tesla

The rumors of rivalry brewing between two of Silicon Valley’s most successful companies, Apple Inc. AAPL and Tesla Motors Inc TSLA, are increasing by the day. As we reported in an earlier article, both the companies are almost at war with each other for talent, it seems the war is spreading to other areas as well.

Dan Costa, Editor-in-Chief of PC Magazine, was on CNBC recently to opine on the rivalry and the prospects of the two companies merging.

What Could Apple Be Developing Right Now That Tesla Could Want?

“So, I think it’s a tantalizing prospect to imagine Apple building electronic car to go head to head with Tesla, but I don’t think that’s happening right now,” Costa said. “There have been a few reports, there have been a few teasers, but the bottom-line is that Apple actually has a lot to learn from Tesla. Apple wants to create an innovative in-car experience and Tesla has already done that.”

“Apple wants to do it of course in partnership with current vehicle manufacturers, but I can bet they are looking at Tesla to find, steal ideas for what the next generation car interface is going to look like.”

How Far Fetched Is The Idea Of Apple And Tesla Merging?

“I’ll tell you it’s an amazing concept, I love thinking about it,” Costa replied. “Kind of reminds me of Google buying Nest […] and getting Tony Fadell’s talent to head up their connected home and smart home division and it’ll be amazing to think about what these two companies could do together and at the same time, they have very different cultures.”

He continued, “I think Tim Cook and Elon Musk have very different management styles and very different temperaments. I’ll find it hard to believe that that could actually work out, but definitely in terms of co-operation you could see that they are working on some of the same projects, but they have got their own areas of expertise. So, I think they could probably do some exciting things.”