The Renault-Nissan-Mitsubishi automotive alliance has launched a venture capital fund to invest up to $1bn in the next five years.
The new entity will act as main interface for start-ups, investors and the venture capital ecosystem to support open innovation.
The fund, Alliance Ventures, plans to invest up to $200m in its initial year in start-ups and open innovation partnerships with technology entrepreneurs.
It prioritizes open innovation in new mobility, including electrification, autonomous systems, connectivity and artificial intelligence.
The fund offers access to potential partners, global scale and scope of Renault-Nissan-Mitsubishi, which has sold more than 10 million vehicles last year through 10 separate brands, across the world.
Alliance Ventures will invest in start-ups to bring new technologies and businesses, while ensuring fair return on investment. The fund will also invest in all start-up stages and will incubate both new automotive entrepreneurs and make new partnerships.
The venture fund will be led by François Dossa, who is working as Nissan Brazil CEO. The Alliance Ventures team will also draw on the expertise and business opportunities identified by a Cross-Functional Team of experts from Renault, Nissan, and Mitsubishi.
Renault-Nissan-Mitsubishi chairman and CEO Carlos Ghosn 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."
Alliance Ventures will make its first investment in Ionic Materials, a US-based company that is developing solid-state cobalt-free battery materials.
The Massachusetts-based startup is a developer of solid polymer electrolyte that offers improved performance and cost effectiveness of high-energy density batteries for automotive and other applications.
