STORY: Japanese tech giant Sony and automaker Honda sealed the deal on Thursday for an equally-owned joint venture that will start selling electric cars in 2025.
Under the new plan, first unveiled in March, the two brands will invest about $37.5 million each to start a new company called Sony Honda Mobility.
In a press statement that announced the signing, the two sides said the aim is to sell ‘high-value-added' electric vehicles, or EVs, and provide mobility services.
This will be done by combining Honda’s expertise in building and selling cars, and Sony’s software and technological chops.
Yasuhide Mizuno, a senior Honda executive, will serve as Sony Honda Mobility’s chairman and CEO.
While Izumi Kawanishi, an executive vice president at Sony, will be the president and chief operating officer.
Like most Japanese automakers, Honda has been slower to shift to EVs compared with global carmakers.
It has so far only one model on the market – the Honda e.
But it recently began laying out plans to join the EV race, as pressure mounts from investors to make more eco-friendly cars.
Apart from this joint venture, Honda also said earlier this year it would work with General Motors to develop a series of lower-priced EVs.