This could be the end of an era. Sony Electronics announced on Tuesday that it will hand over control of its TV and home entertainment business to its Chinese rival TCL Holdings Electronics Ltd. The new structure, which will be finalized by the end of March, will see TCL hold a 51% majority stake, while Sony will hold a 49% stake. The agreement will be applicable in all countries where Sony has a business scope, covering the full spectrum from product development and design to manufacturing, sales, logistics and customer service for products including television and home audio equipment.
“By combining the expertise of both companies, we aim to create new customer value in the home entertainment sector, providing even more engaging audio and visual experiences to customers around the world,” Kimio Maki, representative director, president and chief executive officer of Sony Corporation, said in a statement.
TVs produced under the Sony and TCL agreement will continue to use the BRAVIA branding, as does the current format. Given the brand’s heritage, this is not expected to change.
“Through strategic business complementarity, technology and know-how sharing, and operational integration, we hope to enhance our brand value, gain scale, and optimize the supply chain to provide better products and services to our customers,” said Dou Juan, chairperson of TCL Electronics Holdings Ltd.
The foundation of this agreement rests on the expectation that Sony and TCL together will be able to leverage technology and particularly Sony’s high quality picture and audio advances for the next series of products in the home entertainment portfolio, while making best use of TCL’s own display technology, industrial footprint and supply chain strengths.
TCL manufactures TVs at multiple facilities in several countries with major manufacturing centers including China (Shenzhen, Huizhou and Chengdu), Vietnam, Mexico, Poland and India (the manufacturing facility is located in Tirupati).
It is expected that, with TCL’s scale and manufacturing prowess, Sony Bravia will have a better chance of success amid changing trends including video streaming preferences, adoption of larger screen sizes with higher resolution, and the rise of smart TV features. Google TV, Samsung’s Tizen OS, and LG’s Web OS, along with Apple’s tvOS and Amazon’s revised Fire TV OS, are all competing for a piece of the smart TV market share pie.
Questions that remain unanswered include possible changes in Bravia TV pricing strategies (for now they play in the premium segment) as it competes with companies like Samsung, LG, as well as Xiaomi, and whether Sony will leverage all of TCL’s global manufacturing facilities to build future home entertainment products.
According to research by Mordor Intelligence, India’s smart TV and OTT market is expected to reach $60.05 billion by 2030, up from $26.3 billion in 2026. India’s PLI, or performance-linked incentive scheme, has helped TV makers deal with volatility in display panel pricing over the past few years, allowing brands to negotiate pricing.
Research firm Counterpoint estimates that Samsung leads the market share in India with 23.8%, followed by LG (16.5%) and Xiaomi (7.9%). TCL and Hisense also recorded significant growth, with Hisense’s share in the premium segment rising to 20% by Q1 2025. Currently, Sony’s India portfolio includes OLED, Mini LED and Full Array LED display technologies.