Apple’s Aggressive New Version of CarPlay Is Scaring the Car Industry. Here’s Why.

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This could be the moment Apple takes a huge bite out of automakers' revenue.

The issue at hand begins with the next-gen CarPlay’s extreme integration. Rather than embedding a simplified iPhone mirror into a centrally positioned multimedia touchscreen, the revamped interface takes over all interior displays, including the instrument panel and related gauges, along with ancillary items like air conditioning controls.

Already teased at a recent Apple developer conference is a feature that enables CarPlay to navigate to a gas station and pay for the fill-up. The idea isn’t new; according to, GM attempted the trick as early as 2017, but later abandoned it. But the sense in the industry is that Apple’s longstanding ability to take a significant challenge and create an elegant and intuitive solution means that this time round it’s more likely to gain rapid, widespread acceptance.

Which explains why carmakers are feeling more threatened than ever by the idea of handing over their user experience to a savvy outsider. As Wedbush Securities analyst Dan Ives explained to, “Auto is a massive industry for Apple because it’s just a further expansion of its ecosystem. Its goal is to be more and more entrenched in consumers’ life.

While some marques have resisted implementing CarPlay , the vast majority of carmakers must now decide if they’re willing to cede so much control to Silicon Valley. The scale of implementation is staggering—and already has a considerable consumer foothold, unlike the much-rumored Apple Car. As analyst Horace Dediu

, “Forget about the Apple Car—Apple CarPlay is a bigger deal. It’s very likely to scale to millions and millions of cars, if not hundreds of millions.”many might be hesitant to take this next giant leap forward. Perhaps the most telling observation comes from AutoForecast Solutions analyst Conrad Layson, who says “It’s a really difficult time in the industry, where the car companies think they’re still building cars. They’re not.

 

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