Analyst: Apple has shifted from an all-car project to augmented reality technologies

In a note to clients — as noted by MacRumors — KGI Securities analyst Ming Chi-Kuo says he believes that Apple has shifted its focus from its original rumored car project in favor of augmented reality technology. 

Here’s what he predicts: “All of Apple’s past successes were related to human-machine interfaces, such as mouse for Mac, click wheel for iPod, and multi-touch for iPhone and iPad. 

“Assuming Apple successfully develops AR, we predict the firm will enjoy the following competitive advantages: (1) redefining existing key products and leading competitors by three to five years. For instance, this could happen for iPhone, iPad and Mac; (2) eliminating obstacles of Apple Watch and Apple TV by offering an innovative user experience; and (3) entering new business fields, such as autonomous driving system. 

“We expect Apple to generate preliminary results for AR in the next 1-2 years at the earliest and working with iPhone may be the first step.”

In September, The New York Times reported that Apple was “rethinking” what it plans to do about its self-driving car plans. The company has shuttered parts of its “Apple Car” project and laid off dozens of employees, the article added, quoting three unnamed “people briefed on the move who were not allowed to speak about it publicly.” Keep in mind that the company has never confirmed any automotive plans beyond its CarPlay initiative.