Honda-Sony set to deliver exceptional electric cars

Honda and Sony announced that they have agreed to deepen dialogue and exploration of forming a strategic alliance whose goal is to create a brand-new technology of mobility and mobility services. The two organizations have signed a memorandum that outlines their rationale, which will set up a joint venture (“New Company”).

They plan to interact with the mutual improvement and income of excessive value-introduced battery-electric powered vehicles (EVs) and commercialize them by presenting mobility services.

Both companies anticipate that they can catch up with the latest EV manufacturers like BYD or Tesla by working together.

Therefore, a brand-new electric car will be on the market before the end of 2025 after preorders begin in the year’s first half. In 2026, SHM plans to start US deliveries in the spring and Japanese deliveries in the second half.

In addition to providing “high value-added products and services,” SHM (Sony-Honda Mobility) said it intends to design and develop the electric cars by focusing on software and the car’s entertainment system, which could include “digital innovations like the metaverse,” according to the company.

In detailing the strategy, Honda said it would also shift its business from one-off hardware sales to recurring sales of services, combining hardware and software. By 2030, Honda will be supplying 800,000 EVs to North America.

Honda announced that in ten years, he would invest 5 trillion yen ($37.16 billion). Meanwhile, Sony proposed that the new EVs might be an essential profitable platform for the industry.

Kawanishi said, “What will be important is the software domain,” outlining the potential for new revenue streams. “We have to add value, and that is where we will place our emphasis.”