Automotive Giants Agree on Shared Software and In-Vehicle Computer

The technological transformation and competitive pressure in the global automotive sector are driving two major Japanese manufacturers into a strategic partnership. Honda Motor and Nissan Motor will sign a formal agreement on Monday to use a shared software and in-vehicle computer system in their new automobiles starting in 2029.

Focus on Software-Defined Vehicles

Increasing technology competition in the global automotive market is pushing Japanese manufacturers to establish strategic partnerships. The prepared cooperation protocol focuses on software-defined vehicles that offer remote update capabilities similar to smartphones.

Within the scope of the partnership, Honda and Nissan will jointly build both the in-vehicle software and the hardware infrastructure on which this software will run. The new operating system and electronic control unit to be developed will be predominantly based on Nissan technology.

Flexible Architecture System

Honda will directly contribute to the development processes, and the new system will be utilized across a wide range of vehicles.

The operating system and electronic control unit to be prepared will feature a flexible architecture that can be easily integrated into electric vehicles, hybrids, and traditional gasoline-powered automobiles.

Sales Power of Millions of Vehicles

Mitsubishi Motors, in which Nissan holds a partial stake, is also expected to join the process and evaluate the new technology in its own models.

The combined global sales of Honda, Nissan, and Mitsubishi reach 7.3 million vehicles, creating a massive economy of scale.

Project-Based Strategic Cooperation

The two companies had previously considered a comprehensive merger option, but those negotiations ended without result.

Focusing on project-based strategic collaborations rather than a merger since that time, Honda and Nissan aim to increase their competitive power in the global market with this move.