China Responds to a Prossible Apple Inc. (AAPL) – Tesla Motors Inc (TSLA) Showdown

The word on the street says Apple Inc. (NASDAQ:AAPL) might be spreading its tentacles and venturing into Tesla Motors Inc (NASDAQ:TSLA)‘s territory. According to an article on The Wall Street Journal, the project for the design of this new electric vehicle is codenamed Titan.

Even though Tesla Motors Inc (NASDAQ:TSLA) might not be in a mood to celebrate the arrival of Apple Inc. (NASDAQ:AAPL) on automobile scene, Chinese investors seem to be in much better spirits, according to an article on Bloomberg Business. The investors are seeing this as an opportunity to jump on the bandwagon and invest in companies that will have a direct role in Apple Inc. (NASDAQ:AAPL)’s new venture, when and if it does actually materialise.

BYD Co.’s 11% rise in Hong Kong, NavInfo Co jumping 10% in Shenzhen, and Ningbo Joyson Electronics Corp. surging 10% in Shanghai, were the main benefactors of this speculation.

Since there hasn’t been any confirmation of sorts from the Apple team itself, one starts to think whether it’s even realistic to venture into a whole new ball game for Apple Inc. (NASDAQ:AAPL). For a company of Apple’s stature, and by that I would like to emphasize the cash that the tech giant was holding as of Dec. 27, 2014, $178 billion, impossible is nothing.

Tesla Motors Inc (NASDAQ:TSLA) bought a Toyota factory in 2010 for merely $42 million to kick off production of its own electric cars. However, they have pumped in several millions more since then to cater to the needs of cutting edge technology from its customers.

Competition from Apple Inc. (NASDAQ:AAPL) might still not be what is keeping Elon Musk, Tesla Motors Inc (NASDAQ:TSLA)’s CEO awake at night. His company’s stock is down nearly 9% just for this year, in the wake of missing fourth quarter estimates by a mile, and on top f that coming up with ridiculous excuses, which have cast even more doubt on the efficacy of the company’s management.

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