07-09-24

Nissan and Honda Partnership – Automakers Shake Hands to Shake Up EVs

Speculated since March, Japanese automakers Nissan and Honda are making their collaboration official. What can we expect from this partnership and how can it impact electric vehicles in the future for the worldwide electric market?

Nissan and Honda’s Partnership Goals

Nissan and Honda are Japan’s second and third biggest automakers, so why would two direct competitors want a partnership? Software. According to the Japan Times, the goal of the move was to catch up with Chinese competitors who had taken a decisive lead in EVs while Japanese companies concentrated more on hybrid cars. Electric Cars are more computer than motor these days and software is a crucial and ever-changing part of the electric vehicle future.

With this alliance, the two automakers aim to outpace Chinese manufacturers in the Eastern market and beyond. Together their project focus could involve vehicle function software, wireless update software, charging infrastructure updates, supplementary goods, and battery development.

Partnership Timeline

Both Nissan and Honda are staying quiet about in-depth developments, but it’s safe to speculate that since the March announcement, the companies are now settling on the finer details of the agreement. With lower production costs due to the partnership, EV costs to rival Tesla and other aggressive upcoming competitors could translate into higher sales if the lower production costs also translate into lower ticket prices at the dealership.

Ultimately, this partnership exemplifies a global trend where traditional automakers are banding together to adapt and excel in the Electric Vehicle era. By pooling their resources and expertise, they aim to standardize vehicle software for user-friendly interfaces and streamline charging hardware compatible with the expanding network of charging stations. This collaboration has the potential to catalyze the electric vehicle market's shift towards becoming the predominant choice on the roads. We eagerly anticipate the outcomes of this collaborative effort.

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