Honda, Nissan target rollout of joint vehicle software in fiscal 2029

TOKYO, (Reuters) – Japanese automakers Nissan and Honda said on Monday they would jointly develop standardised electronic ​control units (ECUs) for software-defined vehicles (SDVs), deepening their collaboration on ‌more advanced car technology.

The companies plan to introduce an architecture incorporating the jointly developed ECUs and software in next-generation vehicles from ​the 2029 financial year onwards, they said in a ​joint statement.

Software has become a key battleground for ⁠automakers as vehicles take on more autonomous-driving and connected ​functions. Carmakers are investing heavily in operating systems that support ​features ranging from driver assistance and entertainment to over-the-air updates, increasing development costs.

The move also reflects growing competitive pressure from Chinese automakers ​such as BYD , which have gained ground in markets ​including Europe and Southeast Asia with electric and hybrid cars packed with ‌advanced ⁠software features.

The agreement stems from talks that began in 2024, when Honda and Nissan said they would jointly research next-generation software platforms. It comes more than a year after they ​abandoned merger ​talks that would ⁠have created the world’s fourth-largest automaker.

Honda and Nissan said they aim to establish common ​specifications for core ECUs within their vehicles’ ​electrical and ⁠electronic architecture, as well as operating systems and parts of the middleware and vehicle-control software.

Nissan’s alliance partner Mitsubishi Motors ⁠it ​was considering joining the collaboration and ​remained in discussions with the two automakers on potential areas of collaboration.

Reporting ​by Daniel Leussink. Editing by Chang-Ran Kim and Mark Potter