Japanese automakers Nissan Motor and Honda Motor have agreed to team up to jointly develop the next generation of vehicle software, they announced on Thursday.
The companies also signed a memorandum of understanding to deepen the strategic partnership they already announced in March, pledging to cooperate in batteries, e-axles and vehicle complementation.
The automakers also signed another memorandum of understanding with Mitsubishi Motors, which is 34% owned by Nissan, to discuss a framework to collaborate on vehicle electrification based on Honda’s and Nissan’s agreement from March, they said in a separate statement.
Nissan and Honda aim to conduct the basic research into technologies for the next-generation software platform in about a year, they said in their joint statement.
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The push comes as both companies, Japan’s third and second biggest automakers after Toyota, still have to significantly step up electric-vehicle sales and have been losing share in key market China where both have made large investments.
The pair, which had combined global sales of 7.4 million vehicles in 2023, face growing competition from legacy global brands that have rolled out EVs at a swifter pace and players such as Tesla and China’s BYD.
Nissan and Honda will benefit from the cooperation on software as factors such as the ability to process data and the number of engineers working in the area boost competitiveness, Honda CEO Toshihiro Mibe said.
They will seek to standardise the specifications of EV battery cell modules from a mid- to long-term perspective, aiming to make it possible to use the batteries they plan to procure in vehicles from both companies, they said.
The companies said they will look into whether lithium-ion EV batteries made by L-H Battery Company, a joint venture between Honda and South Korea’s LG Energy Solution, can be supplied to Nissan in North America from 2028 or later.
They will aim to standardise specifications of the e-axles that they will use in a future generation of battery-powered vehicles, the companies said.
- Reuters with additional editing by Sean O’Meara
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