Japan’s Sony (SNE) and Honda (HMC) announced on March 4, 2022, that they plan to start a joint venture to develop and sell electric vehicles. They will establish a new company this year before releasing the electric cars in 2025. In a joint statement, the two firms said that details of the agreement are still under discussion.

Honda will be in charge of production, and Sony will create a platform that provides mobility services. “The new company is expected to plan, design, develop, and sell the EVs, but not own and operate manufacturing facilities,” the two firms added. Sony recently announced plans to establish a new company called Sony Mobility to test a commercial launch of its Vision-S concept electric cars. The Japanese conglomerate is best known for its consumer electronics. “With our imaging and sensing, cloud, 5G and entertainment technologies combined with our content mastery, we believe Sony is well-positioned as a creative entertainment company to redefine mobility,” Sony CEO Kenichiro Yoshida said at the Consumer Electronics Show (CES) in January. “Although Sony and Honda are companies that share many historical and cultural similarities, our areas of technological expertise are very different,” said Honda CEO Toshihiro Mibe in a statement. “Therefore, I believe this alliance, which brings together the strengths of our two companies, offers great possibilities,” he added.