Many of us wanted to see one of Sony’s biggest and most important projects come to fruition, a project that would take Sony into uncharted territory for the Japanese tech giant. But, as happened with Apple’s ill-fated car, the Honda Afeela will never see the light of day despite having a selling price and production date.
The collaboration between Sony and Honda to manufacture electric vehicles has come into question after the companies halted the development of their Afeela model, a decision that reflects the growing challenges posed by the transition away from combustion engines.
Goodbye to Sony’s electric car
The two companies have confirmed that they will abandon their joint plan to produce the Afeela electric car, a sleek $90,000 model whose launch in the United States was initially scheduled for the end of this year.
The cancellation represents the latest setback in a widespread withdrawal from the electric vehicle programs sector, as automakers face declining demand, regulatory changes, and rising costs.
More than a dozen automakers worldwide have already delayed or abandoned their fully electric vehicle goals, reversing the commitments made when government incentives and climate policies favored a faster transition.
Honda, which is already recovering from its decision earlier this month to abandon its series 0 of electric cars, has warned investors of a $16 billion loss related to the development of electric vehicles over the next two years. The company has also reported its first loss in more than seven decades. “The future of the models in development with Sony had not been resolved,” said President Toshihiro Mibe during that announcement.
Mibe, who set the goal for Honda to sell only electric and hydrogen fuel cell vehicles by 2040, has seen that goal come under scrutiny within the company.
The partnership between Sony and Honda was launched in 2022 as Sony Honda Mobility, with plans to combine Sony’s expertise in sensors, software, and entertainment technology with Honda’s strengths in manufacturing and engineering.
The Afeela prototype, which debuted with great anticipation at major trade shows in 2025, positioned itself as a potential rival to Tesla and the rapidly growing Chinese electric vehicle brands. Its cancellation leaves both partners without a jointly developed flagship electric vehicle on the horizon.
The future of the electric car is starting to look less clear
Although global demand for electric vehicles has cooled, the U.S. market remains crucial. However, after Donald Trump revoked vehicle emissions standards and ended federal tax credits for the purchase of electric vehicles, sales have plummeted.
This policy change removed a key pillar that supported the investment plans in electric vehicles of car manufacturers, especially for premium segment models like the Afeela.
Honda’s decision will also redefine its overall strategy, which is now leaning more towards expanding its hybrid offerings, as the company prepares to unveil its updated roadmap in May. This change reflects a growing pragmatism across the sector. Even luxury brands like Rolls-Royce, owned by BMW, have confirmed that they will continue to manufacture gasoline cars beyond 2030.
The implications go beyond a simple project for Sony: the end of the Afeela initiative disrupts its long-term bet on integrating entertainment and software ecosystems in vehicles, a possible new frontier for its technology and media divisions.