WEBDESK: Apple elevated its Research & Development spending by $1.5 billion this year but plans to cut capital expenditure — current spending on equipment — for the rest of the year
Capital expenditure will decline by $1 billion to $12 billion, According to an SEC filing. The larger-size iPhone 6 and 6 Plus models are now launched, as well as Apple Watch. In the upcoming year Apple is likely to only upgrade the software on those models and to tweak the hardware marginally, in the form of an iPhone 6S and iPhone 6S Plus, and an updated operating system for the Watch.
International Newspapers, Business Insider, speculated that given that Apple’s 2015 spending on Research and Development increased by $1.5 billion to $5.9 billion in the first nine months of 2015. Apple may be cutting its new manufacturing expenditure now but it sure looks like it is pouring resources into more stuff for the future
Apple has made several hires recently that suggest it will launch new products in the automotive market. Apple has also hired Paul Furgale, whom The Journal describes as “one of the leading autonomous-vehicle researchers in Europe.”
Citing “a person familiar with its work,” The Wall Street Journal reported that Apple had hundreds of people working on an electric car, codenamed “Project Titan.”
It is being headed up by VP Steve Zadesky, a veteran of Ford who helped build the first iPod, and the prototype reportedly “resembles a minivan.”
Source: Business Insider