Honda and Nissan initially said they were trying to finalize an agreement by June and set up the holding company by August. The three automakers will continue to work together on electric vehicles and smart cars, such as autonomous driving, they said Thursday.

The Japanese companies’ decision to call off negotiations highlights the challenges legacy automakers face in partnering to tackle new technologies.

TOKYO — (AP) — Japanese automakers Honda, Nissan and Mitsubishi said Thursday they are ending talks on business integration. Nissan Chief Executive Makoto Uchida said the talks had changed focus from setting up a joint holding company to making Nissan into a subsidiary of Honda.

It seems that the two automakers could not see eye to eye, suggesting that the rumors of discord were well-founded.