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Apple Lays Off Over 600 Workers in California Due to winding down of car, smartwatch projects

POSTED ON April 5, 2024 •   Uncategorized      BY Samuel O . Adeniyi
Apple's Logo | Photo Credit: The Edge Malaysia | Source: Google

Apple Inc. has terminated over 600 employees in California as part of its decision to discontinue projects related to car and smartwatch display development.

In a letter addressed to the California Employment Development Department, an attorney representing Apple, said that the layoffs were executed in compliance with the Worker Adjustment and Retraining Notification (WARN) program, requiring a 60-day notice period before mass layoffs. 

It was reported that Apple submitted eight separate reports to the state, detailing the affected employees and locations associated with the terminated projects. 

Notably, a significant number of those affected, at least 87 individuals, were linked to a secretive Apple facility engaged in next-generation screen development, while others were connected to the now-cancelled car project. 

The document stated that effective from May 27th, the layoffs mark the culmination of Apple's decision to wind down these ambitious initiatives earlier this year.

The termination of the car project was attributed to internal indecision regarding its strategic direction and concerns over its cost implications. Similarly, the in-house microLED display development was halted due to a combination of engineering, supplier, and cost challenges.

Other roles affected by the layoffs include "machine shop" managers, hardware engineers, and product design engineers.

It was discovered that the majority of the layoffs, totalling 371 employees, occurred at Apple's primary car-related office in Santa Clara, California, with additional staff affected across satellite offices. Some members of the Apple car team were reportedly reassigned to other divisions, such as artificial intelligence or personal robotics projects. 

Approximately 2,000 employees engaged in the Apple Car project were reportedly informed of its winding down earlier this year.

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