Renault-Nissan-Mitsubishi to spend $1-billion on future tech

Keeping up with numerous partnerships in the automotive industry, the Renault-Nissan-Mitsubishi launches a new corporate venture capital fund called Alliance Ventures. The three automakers plan to spend up to $1-billion to finance to finance future technology developments for mobility over the next five years.

In its first year, this cross-cultural partnership plans to invest $200-million in start-ups and open innovation to support new mobility developments such as vehicle electrification, autonomous systems, connectivity, and artificial intelligence. 

Taking a step forward, the fund’s first strategic investment is in Ionic Material, a US-based company that develops cobalt-free solid-state battery materials. This new product enhances the performance and cost-effectiveness of high-energy density batteries in electric cars.

With the trio’s large investment, the Alliance anticipates to introduce twelve pure electric models, utilize common EV platforms and components; bring forty vehicles with autonomous drive technology; and develop robo-vehicle ride-hailing services by the end of 2022. 

In terms of funding, Renault and Nissan will each contribute 40% while Mitsubishi will aid the remaining 20% of Alliance Ventures. The company’s offices are said to be located in US, France, China, and Japan.

The Alliance Ventures intends to become the largest corporate venture capital fund in the automotive industry, set to go head-to-head with Volkswagen, Toyota, and other brands that are investing heavily on future mobility.