Nissan and Mitsubishi confirm investment in Renault's Ampere EV unit

Long-standing partners Nissan and Mitsubishi have confirmed plans to invest in Renault's electric vehicle unit Ampere. The collaboration aims to develop electric vehicles specifically tailored for the European market among others.

Nissan and Mitsubishi are set to invest up to $703 million and $234 million, respectively, in Ampere. This dedicated EV unit has been separated from Renault and is slated for a public listing soon. Nissan will take on the role of "a strategic investor" in Ampere and may leverage the EV unit's software and connectivity innovations for markets outside of Europe.

Quite likely, the most important outcome of this collaboration is the development of an electric version of the compact Nissan Micra for the European market by Ampere. Additionally, a medium-sized electric SUV for Mitsubishi is also in the pipeline. Renault CEO Luca de Meo highlighted that Ampere's involvement would significantly reduce production costs for Micra, cutting them by up to 50%.

The partnership isn't limited to the European market though, as the alliance partners have also confirmed their joint projects in Latin America and India. The decision to end their common purchasing agreement in September was driven by the desire to focus on individual projects and adapt to regional differences more efficiently.

Mitsubishi will now be able to embrace electrification while keeping development costs reasonable. The company intends to market the EVs acquired from Ampere in its primary markets, Southeast Asia and Europe.

New Renault 5 and new Nissan Micra will be closely related

Renault has ambitious plans for Ampere, with intentions to spin off its EV business and conduct an initial public offering in 2024. The French automaker plans to retain over 50% of Ampere's shares. With Nissan and Mitsubishi now on board, this three-way alliance hopes to address the growing demand for EVs and the increasing importance of software-intensive vehicles.

US chipmaker Qualcomm has also expressed interest in investing in the EV venture, further emphasizing the global significance of this company.

Via