Carmaker Honda Motor and tech major Sony have partnered to sell electric vehicles in 2025.
As part of this partnership, the two companies will each invest 5 billion yen, ($37.52 million). This decision comes after the two Japanese firms announced in March they would build and sell EVs.
Honda and Sony’s new company, Sony Honda Mobility Inc., will be established this year as a follow up to this joint effort.
Honda will provide “environmental and safety technologies,” as well as car building expertise, while Sony will support “imaging, sensing, telecommunication, network and entertainment technologies,” according to the joint statement.
The announcement comes amid international supply chain challenges, sky rocketing fuel costs, and a global chip shortage. Central banks around the world are also hiking key interest rates.
On June 17, Honda shares dipped by 2.81% while Sony shares fell by 0.31%.
