Nissan and Honda officially declared on Friday (Mar. 15) their collaboration in advancing electric vehicles (EVs) and auto intelligence technology, acknowledging areas where Japanese automakers have lagged. The CEOs of both companies revealed their intent to explore collaboration opportunities during a press conference in Tokyo.
While the specifics of the Nissan-Honda partnership agreement are under negotiation, both sides emphasized jointly developing core technologies while maintaining separate product lines, according to AP News.
Nissan's CEO, Makoto Uchida, stressed the urgency of speed in technological development, citing shared challenges. "It is significant that we have reached this agreement based on a mutual understanding that Honda and Nissan face common challenges," he remarked.
Honda's president, Toshihiro Mibe, highlighted common values, suggesting synergies to counter competitors as the global automotive industry is rapidly transitioning to EVs due to emissions and climate change concerns.
Despite Japan's success with combustion engine vehicles, companies like Tesla and BYD have led the development of EVs. Toyota, the largest automaker, has reservations about a complete shift to EVs due to infrastructure challenges but plans to intensify EV efforts.
Nissan has a relatively stronger EV presence, notably with its Leaf model. The anticipation of the collaboration was reflected in significant stock price increases for both companies.
While no mutual capital ownership is involved, both remain open to exploring possibilities. Uchida reaffirmed their commitment to enhancing competitiveness.
EV Industry Adjusts Amid Slower Than Expected Consumer Adoption
The NIssan-Honda partnership occurs as businesses supplying EV manufacturers face uncertainty. Despite expected component demand growth, recent trends show a slow conversion of driver enthusiasm into sales. Major automakers are revising EV plans in response to subdued consumer interest.
Ford, General Motors, MTech Times Exclusives #71: Sansan Country Manager Jay Pegarido Discusses How Cloudbased Contact Management Solution Works ercedes-Benz, and Volkswagen are adjusting strategies, shifting focus to hybrid and gas-powered vehicles. Government initiatives promoting sustainable alternatives fueled initial fervor, but higher upfront costs and repair expenses dampened consumer uptake.
This adjustment may raise short-term supplier concerns but also present opportunities. Shared components between EVs and hybrids will see increased demand, offsetting short-term challenges with long-term growth prospects.
U.S. Treasury Secretary Janet Yellen said Wednesday that the Biden administration is supporting the country's electric vehicle industry in response to China's growing exports and government subsidies, as reported by Reuters.
Changes in market preferences may provide new possibilities, according to Morgan Stanley analyst Adam Jonas, noting that Toyota's focus on hybrid vehicles rather than EVs is projected to boost production and help its suppliers, per CNBC.
Nissan Reports Massive Data Breach
Meanwhile, Nissan confirmed a December 5, 2023, data breach involving 100,000 customers, employees, and dealers, with 10% compromised. TechTimes reported that the cyberattack incident affected Nissan Motor Corporation and Nissan Financial Services in Australia and New Zealand. Allegedly claimed by the ransomware group Akira, the breach involved 100 gigabytes of stolen data, including company files and personal information.
While customers were informed of the incident in December, details on data breach emerged later. Nissan plans to notify affected individuals over the following weeks, noting that the figure may decrease due to duplicates.
Compromised data includes government IDs for up to 10%, with specifics like 7,500 driver's licenses and 220 passports. Around 90% of those not contacted had additional personal data exposed, such as financial statements or work details.
Dealers, current or former employees, and consumers of related finance operations under various brands are affected by the Nissan data breach.
