Offspring of Apple and VW: iCar

Is an iPod-friendly car in the pipeline? The charming partnership of Apple and Volkswagon will likely produce this dream car. But not for three or four years yet, according to analysts. Dubbed the iCar, there are several challenges to be overcome before this desirable car is launched in the market. For one, the technology of the iPod changes too quickly for the automotive industry to catch up. A Volkswagen model may be serviceable for a longer time than an iPod. Will Apple then need to support the iPod or serve its warranty for the term the car lasts?

The iPod and iPhone are highly trendy gadgets for the young and hip gang. Thus, owning a car equipped with iPod is seen as the next cool machine or plaything to have. Music rocks and a car that rocks with music is a must-have. The automotive infotainment market is expected to rise at a Compound Annual Growth Rate (CAGR) of 8 percent from 2006 to 2013. Both companies will reap huge benefits from the iCar if it succeeds. Apple gets to expand the network of the iPod while VW will increase its car sales and inject innovative and creative ideas into the car industry.