Affected by Honda's recentChanges in pure electric vehicle development strategyIn addition, factors such as the Trump administration's tariff policies, the elimination of electric vehicle tax credits in the United States, and fierce competition in the Chinese electric vehicle market have impacted Sony Honda Mobility, the company previously formed by the merger of Sony and Honda.AnnounceAbandoning the development of models under its "Afeela" brand, includingThe Afeela 1, originally scheduled to begin deliveries in California at the end of this year, and the SUV model unveiled at CES 2026 earlier this year.All of them will cancel their listing plans, and customers who have already paid deposits will receive a full refund.
As for the employees of Sony Honda Mobility in Tokyo, Japan and California, USA, their future plans have not yet been confirmed. Sony Honda Mobility stated that it will continue to develop its future direction and expects to announce its medium- to long-term development strategy in the mobility field at an appropriate time.
A Major Strategic Shift: The Painful Cost of Honda's Nearly $160 Billion Loss
The main reason for canceling the development of the "Afeela" brand is that Honda recently recorded an impairment loss of up to US$157 billion. This not only drastically cuts several new pure electric vehicle development plans for the North American market, but also announces a comprehensive contraction of its global electrification strategy. The future development focus will be significantly shifted back to hybrid models.
With Honda announcing the cancellation of three electric vehicles developed for the North American market, the planned launch of the Afeela, originally intended for production at its East Liberty, Ohio plant, has become meaningless. Sony Honda Mobility stated that the inability to continue using specific technologies and assets originally provided by Honda has rendered the launch of the Afeela 1 sedan and the subsequent development of the Afeela 2 SUV unfeasible.
From Vision-S to Afeela: The Rise and Fall of a Technological Dream
Looking back at this collaboration, Sony's interest in car manufacturing began with the Vision-S concept car unveiled at CES in 2020. At the time, this vehicle, packed with sensors and featuring 360 Reality audio technology and a large-screen entertainment experience, successfully garnered global attention.
• 2022:Sony and Honda announced a joint venture, Sony Honda Mobility, combining Sony's sensing components and entertainment-related technologies with Honda's mechanical engineering and manufacturing capabilities.
• 2023:The brand name "Afeela" emphasizes that "feel" is the core of the mobile experience.
• Early 2026:The Afeela 1 sedan is expected to launch by the end of this year, with a starting price as high as $89,900. An SUV model, dubbed the Afeela Prototype 2026, was also announced, with a market entry date as early as 2028.
However, the competitiveness of this high-priced luxury electric vehicle was already questionable when entering a market where tax subsidies had disappeared and competition from models like Rivian and Lucid was fierce. Subsequently, with Honda's decision to withdraw from pure electric vehicle development, the project ultimately faced cancellation.
