For as long as I can remember, Sony has been one of the pioneering giants in TV technology. Before flat panels became the norm, Sony was the TV brand to buy. Even after plasma changed the concept of a TV, Sony was instrumental in pushing LCD technology and driving the adoption of 4K.
Overnight, things changed. Sony announced a memorandum of understanding with TCL that would see its iconic home entertainment business become a separate joint venture with TCL.
Under the proposed deal, TCL would hold 51% of the new company, with Sony retaining 49%.
The joint venture would handle everything from product development and design through to manufacturing, sales, logistics, and customer service for televisions and home audio equipment. Products would continue to carry the Sony and BRAVIA names that consumers around the world have trusted for decades.
As someone who has been writing about technology for over 20 years, the idea of tech giant Sony divesting a big part of its brand came as a bit of a surprise.
But when you look at the market, it starts to make sense. TCL has become a manufacturing powerhouse with vertical integration across the display supply chain. It has scale, cost efficiency, and the industrial footprint to compete in a brutally competitive global TV market.
Sony, meanwhile, brings what it's always brought: premium technology, brand prestige, and decades of expertise in picture and audio processing. The new company plans to leverage Sony's high-quality picture and audio technology alongside TCL's advanced display tech and manufacturing capabilities.
According to the announcement, the companies are working towards definitive binding agreements by the end of March 2026, with the new company expected to commence operations in April 2027, subject to regulatory approvals.
Sony's President and CEO Kimio Maki positioned the partnership as an opportunity to "create new customer value in the home entertainment field, delivering even more captivating audio and visual experiences to customers worldwide."
TCL's Chairperson DU Juan described it as "a unique opportunity to combine the strengths of Sony and TCL, creating a powerful platform for sustainable growth."
What this means for Australian consumers remains to be seen. I reached out to Sony Australia for comment on the new joint venture and was told, “Further details beyond those described in the announcement will be disclosed when significant developments or changes occur”.
In the meantime, we have questions. Will we see more affordable Sony TVs leveraging TCL's manufacturing efficiencies? Will BRAVIA maintain its premium positioning? Will the legendary Sony picture quality remain untouched?
I know these won't be answered until the joint venture is up and running.
But one thing's certain: the TV industry just became a lot more interesting. And for a brand that's been synonymous with television innovation for over half a century, this represents the biggest transformation in Sony's home entertainment history.
