Sony transfers control of Bravia TV production to China’s TCL

Sony Group has announced a strategic change in its consumer electronics business – the company is transferring control of the home entertainment division, including the Bravia TV brand, to China’s TCL Electronics Holdings. The Japanese manufacturer will sell 51% of this business to TCL and create a joint venture, which is scheduled to begin operations in April 2027.

As part of the partnership, the new company will produce TVs under the Sony and Bravia brands, but they will be based on TCL display technologies. For Sony, this is another step towards exiting low-margin segments of the consumer electronics market amid increasing competition and pressure on profitability.

Why will TCL make Sony TVs?

At the same time, TCL gets the opportunity to significantly strengthen its position outside of China. The company is already among the largest TV manufacturers in the world and is actively expanding its presence in the US and Europe, including in the segment of affordable models. Using the Sony brand and its engineering expertise could help TCL gain a foothold in the more expensive premium class of devices.

In recent years, Sony has increasingly focused on higher-margin areas – games, movies, music, anime and sports broadcasts. The company has previously reduced or closed its personal computer, tablet and portable media player businesses. The TV market, dominated by Korean and Chinese manufacturers, is becoming less attractive for Japanese companies.

Despite this, Bravia TVs have long held their positions thanks to their reputation as a premium product with high-quality image and sound. Sony positioned them as part of its creative ecosystem – devices for viewing content in the form in which the authors intended it. The new partnership with TCL should determine the future of this brand in the conditions of changes in the global market.