Sony Honda Mobility has scrapped its Afeela electric vehicle programme, cancelling both the sedan and SUV variants that had been positioned as a premium, software-led entry into the US market. The Afeela sedan had been priced at around $102,900.
The cancellation follows Honda's decision to pull back from planned EV launches in the United States, a strategic retreat that removed the commercial rationale for the joint venture's product roadmap. Honda had announced that reversal shortly before Tuesday's news.
The joint venture was established in 2022, combining Sony's consumer electronics and entertainment software capabilities with Honda's manufacturing expertise. The Afeela brand was intended to compete at the premium end of the EV market, with in-car entertainment and connectivity as central selling points. It had been slated for California initially.
The collapse leaves both companies reassessing their electric vehicle ambitions at a moment when the broader industry is grappling with slowing demand growth, persistent cost pressures, and an increasingly competitive Chinese market. For Sony, which had invested heavily in positioning itself as a mobility technology player, the outcome represents a significant strategic setback.
