Marchionne's proposal for Apple car deal isn't crazy

(Bloomberg) -- Fiat Chrysler Automobiles CEO Sergio Marchionne said he is open to an alliance with Apple or Google as he seeks a merger partner.

Asked if he would be willing to take his consolidation proposal to the tech giants if rebuffed by other automakers, Marchionne said it was possible. "I think we should encourage that dialogue anyway," he said on an earnings call Wednesday.

"I've always been intrigued by the notion of having technology disruptors show up in the marketplace and change the paradigm," Marchionne told analysts as part of his pitch for why the automotive industry should consolidate. "If they show up and they are truly successful, with their cash piles and know-how, they could fundamentally hurt this industry."

Marchionne has told Bloomberg that rival CEOs are not exactly beating a path to his door. Ford and General Motors have little interest in combining with FCA, said people familiar with the thinking at each company.

Marchionne's comments underscore the possible changes afoot in the automotive and tech industries as the two become increasingly intertwined, potentially opening new doors to unusual players and relationships. The idea of an Apple tie-up isn't as preposterous as it may sound. Here's why:

Apple Car? Apple has been exploring the development of its own electric car, pushing its engineers to begin production as early as 2020, though it may scrap those efforts or delay plans if executives are unhappy with the progress, people familiar with the effort said earlier this year. Apple CEO Tim Cook is driving the maker of iPhones and iPads to enter new product categories to further envelop users' digital lives within the Apple world.

Already friendly. Marchionne's Fiat already has a relationship with Apple. Eddy Cue, the tech company's head of Internet software and services, has sat on the Ferrari board since 2012. Apple Chief Financial Officer Luca Maestri spent many years at General Motors, including as the executive in charge of the U.S. automaker's relationship with Fiat between 2000 and 2005.

Investors may be in the mood. Cook was urged by investorsat Apple's annual shareholder meeting in March to consider a marriage with Tesla Motors. Cook sidestepped the issue, saying he hoped Tesla would use Apple's in-car information and entertainment system.

Optimism about Apple's future products has pushed its shares to record highs this year. Apple ended the March quarter with $194 billion in cash and securities.

Apple had no immediate comment on Marchionne's comments.

Such a deal may still be unlikely. Apple, which has shied away from large acquisitions, is still digesting last year's $3 billion purchase of Beats Electronics, which was an attempt to boost the company's streaming-music business. Apple has also moved away from making its own products, turning to lower-cost Asian contractors to build its iPhones, for example. Owning a global automaker doesn't fit with that strategy.