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Science & Technology June 6, 2019 2 mins read

Apple reportedly considering acquiring self-driving vehicle startup Drive.ai

Science & Technology ı By Marivic Cabural Summers

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Drive.ai

Apple (NASDAQ:AAPL) is considering acquiring Drive.ai, a startup focused on the development of artificial intelligence and machine learning for self-driving vehicles, according to The Information.

Two people familiar with the situation told the media outlet that Apple is in the process of negotiating an “acqui-hire” deal with the Drive.Ai

Such deal will help the tech giant strengthen its self-driving vehicle system. Dozens of Drive.ai engineers may end up joining Apple’s engineering team.

Apple believes there is a huge opportunity with autonomous systems

Apple has long been interested to enter in the automobile business. According to Craig Irwin, an analyst at Roth Capital Partners previously told CNBC Apple even tried to acquire Tesla for $240 per share in 2013.

The tech giant has been developing autonomous vehicle systems under “Project Titan. In August last year, Doug Field returned to Apple to work on Project Titan. Field previously supervised Tesla’s engineering and vehicle production.

In January, Apple eliminated 200 employees from its Titan Project, which was considered internally as a shake-up under its new leadership.

At the time, the company’s spokesperson said, “We have an incredibly talented team working on autonomous systems and associated technologies at Apple…We continue to believe there is a huge opportunity with autonomous systems, that Apple has unique capabilities to contribute, and that this is the most ambitious machine learning project ever.”

Drive.ai has been looking for buyers since February

Drive.ai was valued around $200 million two years ago. It is currently offering on-demand ride-hailing service in Frisco and Arlington, Texas.

In February, Drive.ai was recognized by Fast Company as one of the world’s Most Innovative Companies in Artificial Intelligence this year. At the time, it also started looking for buyers. The startup was experiencing difficulty raising additional capital to maintain its operations and remain independent.

A group of machine learning researchers from Stanford University established Drive.ai in 2015 and received $77 million funding from investors including Nvidia and New Enterprise Associates.

The spokespersons of Apple and Drive.ai declined to comment about the report.

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Marivic Cabural Summers
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Marivic Cabural Summers

Marivic has been a freelance writer/journalist for nearly 20 years. She strictly adheres to the ethical standards in journalism. For her, integrity is everything. Readers deserve to know that real story. She previously worked as research analyst and editor at Lombardi Financial and has written for various websites including The Motley Fool, ValueWalk, IcannWiki and was a news writer/radio program producer at Nation Broadcasting Corporation. Marivic holds a BA in Mass Communications.

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