Renault-Nissan alliance: Technology sharing becomes a hurdle for OEMs

The sharing of technology has emerged as a sticking point for the Renault and Nissan alliance, as both auto manufacturers are negotiating an overhaul of their partnership, reports Reuters. The French and Japanese automakers said earlier this month that they were in discussion about the alliance's future, which also includes Mitsubishi. The two auto majors have been discussing Nissan's potential investment in an electric vehicle business being introduced by Renault.

The discussions have included consideration of the French auto giant selling some of its 43 per cent stake in Nissan, claimed the report. Such a move would put the pair on an equal footing and mark a massive change in the alliance's structure which was founded in 1999 as one of the strongest in the automotive world. The report also stated that sharing intellectual property had become a focal point for the two automakers.

The report claims that for Renault, a reboot means the relationship between the two automakers needs to be more than financial. The report also said that what matters is what Nissan brings in intellectual property, engineers and common projects. Nissan currently holds around 15 per cent stake in Renault without voting rights. The French dominance of the alliance has long been a point of contention between the two automakers. Nissan sees it as an unbalanced relationship, claims the report.

Renault is splitting off its electric vehicle business under the code name Ampere. This unit will be completely separate from the automaker's legacy internal combustion engine unit, codenamed Horse. In such a situation, Nissan is concerned about sharing future technology with Renault. One of them is the all-solid-state batteries for electric vehicles, which it is currently developing. However, sharing old technology is less of a concern.