Sony, Honda join hands to sell electric vehicles together

• Companies say they would form a joint venture this year.
• Hope to begin selling the first model in 2025.
• Honda will be the one building the first car from a design standpoint.

Auto giants Sony and Honda are planning to create new electric vehicles together, Pocket-lint reported on Friday after the two companies’ announcement.

In line with their plan to release the first EV by 2025, the auto giants signed a memorandum of understanding (MoU) to create a new company entirely.

According to the deal, Honda will be the one building the first car from a design standpoint, while Sony will be in charge of its service platform.

Earlier this year, Sony showed off concept cars at CES to demonstrate its commitment to getting into the vehicle game, “this might well be the logical step that it was hoping for”.

Speaking on the occasion, Sony’s CEO Kenichiro Yoshida said that the partnership will help his company "contribute to the evolution of mobility centred around safety, entertainment and adaptability.”

"In the joint venture, we would like to lead the mobility evolution by combining our technology and experience with Honda's long experience in mobility development and vehicle body manufacturing technologies," he said.

During a news conference in Tokyo, Honda CEO Toshihiro Mibe said the new company will be able to leverage "Honda’s cutting-edge technology and know-how about the environment and safety while aligning the technological assets of both companies".

"In the joint venture, we would like to lead the mobility evolution by combining our technology and experience with Honda's long experience in mobility development and vehicle body manufacturing technologies," Sony CEO Kenichiro Yoshida said.

The companies did not reveal the financial details of the tie-up.

Asked whether the partnership between the two companies is exclusive, Mibe said they are open to bringing in other companies while wanting to focus on developing the electric vehicle model for now.

"In the future, we would like to expand our business with an open mindset," Mibe said, adding Honda will continue to develop its own electric vehicle strategy separate from the joint venture.

The announcement comes as the electronics maker was seeking to further its ambitions to become a key player in next-generation automobiles, while automakers like Honda are under pressure to make carbon-free cars as well as vehicles equipped with features beyond traditional means of transportation.

— With additional input from Reuters