Sony wants to generate subscription income for electric vehicles

Sony wants to generate subscription income for electric vehicles

At the last CES 2022, Sony representatives announced the creation of the Sony Mobility division and the likelihood of launching electric vehicles under their own brand. Additional comments from the company’s management make it clear that Sony’s business model in this area is to generate monthly subscription income from car owners.

Image source: Nikkei Asian Review

Image source: Nikkei Asian Review

As explained Nikkei Asian review With reference to the statements made by CEO Kenichiro Yoshida, Sony has already tested the subscription not only in the game console segment, but also with Aibo robots. The latter receive regular software updates, and owners pay a monthly subscription fee to access the service. Izumi Kawanishi, Sony’s Robotics Business Manager, spoke about the company’s priorities in selling electric vehicles: “Instead of a one-time hardware sale, we will use software to create an environment that enables a vehicle to develop over five or ten years.”

According to the CEO, the newly created Sony Mobility division will initially be fully owned by the parent company. This formulation enables the acquisition of third-party investors at a later date. Sony’s finance department could also gain more capital autonomy.

When the Sony boss was asked whether she would win partners for the production of electric vehicles, the CEO stated that the optimal format would be chosen. Sony doesn’t want to have too many real assets in its hands, which paves the way for collaboration with third-party manufacturers. Both prototypes of the electric vehicles of the Vision series, which Sony has been showing at CES for two years, were created in cooperation with the Austrian company Magna Steyr. Sony is attracting industry veterans for its electric vehicle business, more than half of which are based in the state, Kawanishi said.

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Alan Foster

Alan Foster covers computers and games and all the news in the gaming industry.

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