- Sony (NYSE: SONY) and Honda (OTC: HNDAF) are establishing a joint venture through which they plan to engage in the joint development and sales of high value-added battery electric vehicles (EVs). These are the details.
Sony (NYSE: SONY) and Honda (OTC: HNDAF) announced that they have agreed to deepen discussion and exploration of forming a strategic alliance that aims to create a new era of mobility and mobility services. Specifically, the two companies signed a memorandum of understanding that outlines their intent to establish a joint venture through which they plan to engage in the joint development and sales of high value-added battery electric vehicles (EVs) and commercialize them in conjunction with providing mobility services.
The two companies are going to proceed with negotiations toward executing various definitive binding agreements, including a joint development agreement and a joint venture agreement, with a goal of establishing the New Company within this year, subject to execution of the definitive agreements and relevant regulatory approvals.
This alliance is aiming to bring together Honda’s mobility development capabilities, vehicle body manufacturing technology, and after-sales service management experience cultivated over many years, with Sony’s expertise in the development and application of imaging, sensing, telecommunication, network, and entertainment technologies, to realize a new generation of mobility and services that are closely aligned with users and the environment, and continue to evolve going forward.
The sales of the first EV model from the New Company are expected to start in 2025. And the New company is expected to plan, design, develop, and sell the EVs, but not own and operate manufacturing facilities, so Honda is expected to be responsible for manufacturing the first EV model at its vehicle manufacturing plant. It is expected that a mobility service platform will be developed by Sony and made available for the new company.
KEY QUOTES:
“Sony’s Purpose is to ‘fill the world with emotion through the power of creativity and technology.’ 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.”
— Kenichiro Yoshida, Representative Corporate Executive Officer, Chairman, President and CEO, Sony Group Corporation
“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.”
— Toshihiro Mibe, Director, President, Representative Executive Officer and CEO, Honda Motor Co., Ltd.
