Nissan and Renault have agreed to limit the usage of the mental property they developed collectively in a brand new firm established by Renault, based on a report by Nikkei on Wednesday.

The sharing of know-how had emerged as a sticking level between Renault and Nissan because the pair negotiated an overhaul of their decades-old partnership, Reuters reported in October.

The French and Japanese automakers have been in talks about the way forward for their alliance, together with Nissan doubtlessly investing in an electrical automobile enterprise being spun out of Renault.

On the similar time, Renault and China’s Geely had agreed to launch a brand new, equally held three way partnership code-named “Horse” that may provide gasoline engines and hybrid know-how to the manufacturers they personal, in addition to to different automakers.

Renault had advised Nissan that it wished to make use of patents and different IP collectively acquired with Nissan within the new enterprise, the report stated citing sources.

Nonetheless, Nissan had raised issues in regards to the therapy of IP, together with battery and powertrain know-how.

Nissan stated it could not permit the usage of joint IP for merchandise to be supplied within the U.S. and China to forestall competitors with the brand new firm and forestall know-how leaks, the Nikkei report stated.

Nissan needs to make sure that key internal-combustion and hybrid know-how it owns is protected in any deal Renault strikes with Geely, Reuters reported in November.

Nissan didn’t instantly reply to a Reuters request for remark outdoors common workplace hours. A spokesperson for Renault declined to remark.