Apple Has Not Partnered with Hertz, Alphabet Partners with Avis, Apple Acquires SensoMotoric Instruments

Today's Above Avalon email includes the following stories: 

  • Apple Has Not Partnered with Hertz
  • Alphabet Partners with Avis
  • Apple Acquires SensoMotoric Instruments

We kick off today's email by discussing Bloomberg's latest report of Apple working with Hertz to manage a self-driving car fleet. There are conflicting accounts as to the Apple/Hertz relationship. The discussion then turns to Alphabet's Waymo subsidiary partnering with Avis. After quickly discussing the business model behind a car rental company, we look at how the Alphabet/Avis partnership may begin to show the possibility of a new kind of business model emerging in the self-driving car space. We then look at why Apple is likely leasing rather than buying cars for testing autonomous systems in California. The email concludes with my thoughts on Apple acquiring SensoMotoric Instruments, a specialist in eye-tracking technology.

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