Apple Implements Layoffs, Eliminating Over 600 Jobs Following Cancellation of Car and Screen Projects

Apple has reportedly laid off more than 600 employees in California following the termination of its car and smartwatch display projects, according to filings with the California Employment Development Department cited by Bloomberg.

Reasons for Closing Both Initiatives

The company initiated the winding down process for both projects in February, citing significant challenges, as highlighted in the report.

Challenges Faced by Apple’s Car and Smartwatch Projects

The car project was scrapped due to executive indecision regarding its direction and concerns over costs. Similarly, the smartwatch display program encountered substantial engineering, supplier, and cost hurdles.

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Extent of Layoffs

Reports indicate that 371 employees were released from Apple’s primary car-related office in Santa Clara, California, with additional layoffs affecting employees at various satellite offices.

Employee Relocation

Some personnel from the Apple car group were reassigned to other departments, such as artificial intelligence or personal robotics, the report revealed.

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Previous Layoffs and Belt-Tightening Efforts

These recent layoffs follow earlier restructuring efforts by Apple. In April 2023, the company trimmed roles within its corporate retail teams as part of a cost-saving initiative. Subsequently, positions were eliminated in the development and preservation teams responsible for constructing and maintaining Apple retail stores worldwide.