According to reports, Sony Group and Honda Motor have opted to pivot and chart new business trajectories for their 50-50 joint venture, Sony Honda Mobility (SHM). On March 25, SHM made public its decision to halt the development and launch initiatives for its inaugural model, the Afeela 1, along with a second model in the pipeline. This move comes in the wake of Honda's recalibration of its electrification blueprint. The Afeela 1 was initially earmarked for a North American debut in 2026, followed by a Japanese rollout in 2027, with a base price tag of $89,900. Although pre-orders had commenced, all deposits have been promptly refunded in the aftermath of the project's termination. Presently, the fate of roughly 400 SHM employees has taken center stage, with both parent companies mulling over the absorption of a portion of the workforce. The redefinition of the joint venture's business scope and the formulation of staff relocation strategies are anticipated to be concluded as early as April. SHM, founded in 2022, originally set its sights on amalgamating Sony's software and entertainment prowess with Honda's manufacturing acumen. At present, the two entities are deliberating on alternative avenues, with a focus on non-electric vehicle products and services.