Sony And Honda Ain’t Feelin’ The Afeela Anymore

The associated task announced coming that it would beryllium discontinuing nan $90,000 Afeela 1 electrical sedan, arsenic good arsenic the unnamed Afeela SUV concept, arsenic it adjusts to slower EV request and argumentation pullbacks. In a statement, Sony Honda Mobility (SHM) wished location was not a “viable way forward” aft Honda recalibrated its EV strategy pursuing steep losses.

Earlier this month, Honda said it would return a writedown of arsenic overmuch arsenic 2.5 trillion yen ($15.7 billion) connected its EV investments, representing nan company’s first yearly nonaccomplishment successful complete 70 years arsenic a nationalist entity. The automaker besides put nan kibosh connected respective planned EVs, including nan Honda Zero Series Saloon and SUV. Now, nan axe has fallen connected nan Afeela arsenic well.

“Since its constitution successful September 2022, SHM has aimed to create and waste precocious value-added mobility products and to supply mobility-related services by combining nan technologies, expertise, and improvement capabilities of Sony and Honda,” nan associated task said successful a statement. “However, arsenic a consequence of Honda’s reassessment of its automobile electrification strategy announced connected March 12, 2026, SHM will not beryllium capable to utilize definite technologies and assets that were primitively planned to beryllium provided by Honda astatine nan clip of SHM’s first business planning. In ray of this change, SHM has wished that it does not person a viable way guardant to bring nan Models to marketplace arsenic primitively planned.”

SHM said it would refund customers who deposited $200 to reserve a early Afeela.

The Sony-Honda associated task first revealed its Vision-S concept astatine CES successful 2020. Since then, nan companies person inched person to production, but not adjacent capable to connection trial drives aliases thing beyond a hands-on pinch nan high-powered infotainment system. Earlier this year, SHM started proceedings production of nan Afeela 1 astatine Honda’s East Liberty Auto Plant successful Ohio. And astatine CES successful January, nan associated task introduced an SUV conception that it said would besides spell into production.

In immoderate respects, Afeela felt much for illustration a level for Sony’s intermezo offerings than a driving machine. It featured screens crossed nan width of nan dashboard, 40 sensors and cameras for semi-autonomous driving assistance, all-wheel drive, and hints astatine augmented reality integration and “virtual worlds” embedded into nan driving experience. Sony precocious said that Playstation 5 owners would beryllium capable to stream games straight connected to nan vehicle’s infotainment system.

But now, nan Afeela has go the latest unfortunate of nan car industry’s EV retrenchment. Even pinch state prices soaring and much customers becoming EV curious, automakers are pairing backmost their exemplary lineups and absorbing immense losses arsenic a result. Some are scrambling to create much affordable models to compete pinch an expected flood of inexpensive Chinese EVs, while others delaying nan modulation altogether. EV income proceed to climb successful Europe and China, but automakers are facing challenges successful those countries arsenic well.

It’s unclear what will go of Sony and Honda’s associated venture, which said it was continuing to clasp discussions regarding its early plans. Honda, successful particular, is successful a reliable spot, pinch declining US income and an aging conveyance lineup. Last year, the company’s $60 cardinal scheme to merge pinch Nissan fell apart amid disagreement astir nan early merged company’s structure.