The partners expect to start selling the first EV model produced by the new joint venture in 2025
Honda and Sony plan to jointly develop battery EVs. (Credit: Jesse PY Lin/Wikimedia Commons)
Honda Motor and Sony Group have agreed to advance their discussions and explore creating an alliance in the mobility field, which includes establishing a joint venture (JV) for battery electric vehicles (EVs).
The two Japanese groups have inked a memorandum of understanding (MoU) for the JV. The duo also plans to commercialise the EVs in conjunction with offering mobility services.
Sony Group and Honda Motor will go ahead with negotiations aimed at signing multiple definitive binding agreements. These include a joint development agreement and a JV agreement, with a target to launch a new company this year.
The partners expect to begin selling the first EV model produced by the new company in 2025.
According to Honda Motor, the partnership’s aim is to bring together its capabilities in mobility development, vehicle body manufacturing technology, as well as after-sales service management experience with Sony’s expertise in developing and applying imaging, sensing, network, telecommunication, and entertainment technologies.
Honda Motor president and CEO Toshihiro Mibe said: “The New Company will aim to stand at the forefront of innovation, evolution, and expansion of mobility around the world, by taking a broad and ambitious approach to creating value that exceeds the expectations and imagination of customers.
“We will do so by leveraging Honda’s cutting-edge technology and know-how in relation to the environment and safety, while aligning the technological assets of both companies.
“Although Sony and Honda are companies that share many historical and cultural similarities, our areas of technological expertise are very different. Therefore, I believe this alliance which brings together the strengths of our two companies offers great possibilities for the future of mobility.”
The new EV company is likely to be involved in planning, designing, developing, and selling the vehicles. However, it will not own and operate manufacturing plants.
Honda Motor is expected to take care of the manufacturing of the first EV model at its vehicle manufacturing facility. Sony Group’s role in the partnership is expected to develop a mobility service platform and make it available for the new company.
Sony Group president and CEO Kenichiro Yoshida said: “Through this alliance with Honda, which has accumulated extensive global experience and achievements in the automobile industry over many years and continues to make revolutionary advancements in this field, we intend to build on our vision to ‘make the mobility space an emotional one,’ and contribute to the evolution of mobility centered around safety, entertainment and adaptability.”
The formation of the new company will be contingent on executing the definitive agreements and securing the relevant regulatory approvals.
Last April, Honda Motor revealed that it will work on boosting the ratio of EVs and fuel cell electric vehicles to 100% of its global sales by the end of 2040.