Sony Honda Mobility (SHM), a joint venture between Sony Group Corporation and Honda Motor Co., Ltd., has announced the cancellation of its Afeela-branded electric vehicles. The decision follows changes in Honda’s global electrification plans, which have affected the availability of key technologies and resources for the joint venture.
The announcement was made after Honda revised its four-wheeler electrification strategy on March 12, 2026.
Impact of Honda’s Strategy Shift
According to SHM, the revised strategy has altered core assumptions on which the joint venture was based. This includes access to certain technologies and manufacturing assets that were expected to be provided by Honda.
As a result, SHM stated that it no longer has a clear path to bring its planned vehicles to market.
Afeela 1 Sedan Cancelled Before Launch
The Afeela 1 sedan, which was expected to launch in 2026, has been cancelled. The model was first showcased at CES 2024 in Las Vegas, and bookings opened in California in January 2025.
Key planned specifications included:
- 91kWh battery pack
- Dual-motor setup with 475hp output
- Claimed range of up to 482km
SHM had also prepared for production at Honda’s East Liberty Auto Plant in Ohio and had begun setting up retail operations in the United States.
The company has stated that it will issue full refunds to customers who had placed bookings.
Second Afeela Model Also Discontinued
A second Afeela model, a coupe-SUV concept revealed at CES 2026, has also been cancelled. The vehicle was originally planned for a 2028 launch in the US market.
Technology Focus of Afeela EVs
The Afeela range was positioned around in-car technology and digital features. Planned elements included:
- Full-width dashboard display
- Camera-based rear-view systems
- Advanced driver assistance and autonomous features
- Built-in AI assistant
- Integration with PlayStation Remote Play
These features were intended to combine Sony’s software capabilities with Honda’s automotive development.
Future of the Joint Venture Under Review
Sony, Honda and SHM have stated that they will review the direction of the joint venture. The companies will reassess its role, long-term positioning and contribution to future mobility solutions. A final decision on SHM’s future structure and business plans is expected after these discussions are completed.
Elctrik Speaks
Sony Honda Mobility’s decision to discontinue the Afeela programme reflects the uncertainty in the global EV industry, where long development cycles are increasingly exposed to shifting strategies and market conditions. The case highlights how dependent joint ventures can be on shared resources and aligned priorities between partners. It also indicates that even advanced, technology-focused EV projects may face delays or cancellation if core assumptions around supply, cost, or demand change. Moving forward, companies may take a more cautious approach to large-scale EV investments, with greater emphasis on flexibility and phased execution.
