Honda and Nissan abandon merger, pursue joint software-defined vehicle OS

Japanese automakers Honda Motor Co. and Nissan Motor Co. have scrapped plans for a merger and instead will collaborate on developing a common operating system for next‑generation, software‑defined vehicles. The partnership will build on Nissan’s existing vehicle OS, which will be expanded and shared as the core “brain” for both manufacturers’ future models, while also standardising electronic control units.

The agreement, expected to be formalised by August, may later involve Mitsubishi Motors Corp. through its longstanding cooperation with Nissan, whereas Renault – a Nissan shareholder – will not take part. Discussions about producing Nissan models in Honda’s U.S. factories were also raised, but the immediate focus remains on software development.