'Mother of All IoT/AI Projects': Tesla (TSLA) Has a Head Start But Apple (AAPL) Could Achieve 2nd Mover Advantage in Autonomous Cars Says Morgan Stanley

January 13, 2022 4:47 AM EST
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Morgan Stanley analyst Adam Jonas has discussed Apple (NASDAQ: AAPL) and Tesla (NASDAQ: TSLA) and their efforts to have fully-autonomous cars, the project seen as the “mother of all IoT/AI projects.”

Jonas estimates that total human hours (driver + passenger) spent inside autonomous cars will increase from more than 600 billion hours today to nearly 750 billion hours by 2030 and nearly 1.2 trillion hours by 2040.

“Today, it’s your car. Tomorrow, it’s an immersive VR experience delivered by a CFRP coated IMAX on wheels attached to an electronic skateboard driven by a supercomputer. Full autonomy is critical to unlocking the potential of a mobile Apple Store... AKA the Mobile Metaverse,” the analyst said in a client note.

Jonas forecast that “the majority of the value creation will occur outside of the coverage of the auto industry analyst.”

When it comes to Tesla vs Apple, Jonas says the ​​former has a head start but Apple could have the 2nd mover advantage yet again.

By Senad Karaahmetovic | senad@streetinsider.com

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Morgan Stanley, Tesla, Senad Karaahmetovic