by Honda and Nissan Join Forces to Develop Software
Two Japanese automakers, Honda and Nissan, have announced a collaboration to create software for future cars. The partnership involves the development of a proprietary system that will allow for additional features and updates, as well as the standardization of key components, including semiconductors, to reduce costs.
Although a full merger of the companies is not planned, they have been working on new technologies since August 2024, which are expected to appear in their models by the end of the decade. The shared platform will allow both brands to collect data, which is becoming increasingly important in the world of software-defined vehicles.
A Shared Digital Approach
In-house software development will give Honda and Nissan more control over technologies and data, unlike using third-party solutions. Although the project may cost over $10 billion, it could generate significant profit in the future through paid updates for customers.
Currently, the companies continue to develop separate platforms for models that will be released as early as next year. However, in the future, they plan to use a shared software architecture with different interfaces for their brands.
A Response to the Chinese Challenge
This collaboration is partly a response to the rapid development of Chinese electric vehicle manufacturers, who are outpacing traditional automakers in the field of embedded technologies. Some budget Chinese models already offer more advanced software than premium cars from Honda and Nissan. In this regard, Japanese manufacturers aim to create more intelligent and interconnected systems to meet growing consumer expectations.
This step could be a turning point for both companies, especially for Nissan, which has faced financial difficulties in recent years. Joint investments in technology can not only reduce costs but also open up new revenue streams, which is critically important in the modern automotive world where software is becoming as important as mechanical components.
