The Renault-Nissan-Mitsubishi alliance has launched Alliance Ventures, a corporate venture capital fund that plans to invest up to $1bn to support open innovation over the next five years.

This confirms reports from last week, suggesting such a move was imminent.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The Alliance said it expected the fund to invest up to $200m in start-ups and open innovation partnerships in its first year.

The aim is to focus on technology entrepreneurs focused on new mobility, including vehicle electrification, autonomous systems, connectivity and artificial intelligence.

With further annual investments, Alliance Ventures is set to become the largest corporate venture capital fund in the automotive industry over the period of Alliance 2022, the strategic midterm plan launched last year by Renault-Nissan-Mitsubishi.

Carlos Ghosn, chairman and chief executive officer of Renault-Nissan-Mitsubishi, said: “Our open innovation approach will allow us to invest and collaborate with start-up companies and technology entrepreneurs, who will benefit from the global scale of the Alliance. This new fund reflects the collaborative spirit and entrepreneurial mind-set at the heart of the Alliance.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Alliance Ventures will be left by François Dossa, who has over 20 years of experience in investment banking, plus six years of experience within the Alliance, most recently, as chief executive officer of Nissan Brazil.

While it will draw on the experience of other automotive insiders, it will also hire from outside, for those with specific venture capital experience in innovation areas and geographic markets for investment yet to be defined.

It is expected to be co-located in Silicon Valley, Paris, Yokohama and Beijing, and Renault (40%), Nissan (40%) and Mitsubishi Motors (20%) will jointly fund the entity.

Ionic Materials

The first deal by Alliance Ventures will be a strategic investment in Ionic Materials, a US-based company which is developing solid-state cobalt-free battery materials. The equity acquisition coincides with the execution of a joint-development agreement with the Alliance for the purpose of R&D cooperation.

Ionic, based in Massachusetts, is the developer of a pioneering solid polymer electrolyte that enables improved performance and cost effectiveness of high-energy density batteries for automotive and multiple other applications.