One chart that shows why Apple is interested in the car market

Apple is reportedly in the early stages of developing an electric car.

Why is Apple developing an electric car? Probably because Apple thinks today’s cars are ugly, and based on old, inefficient technology.

Apple typically finds old, bad products and improves them. The car is the perfect target.

But, there’s plenty of products like cars that are due for a disruption that Apple isn’t touching. So, why the car industry? Because the automobile industry is massive.

This chart, made for us by BI Intelligence based on data from Morgan Stanley, shows that the car market is roughly the size of the smartphone market in terms of sales.

Apple is expected to generate $US236.54 billion in revenue for 2016. If Apple is going to continue growing, then it has to tackle big markets like the auto industry.

NOW WATCH: 14 things you didn’t know your iPhone headphones could do

NOW WATCH: Tech Insider videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.