Well this is big news and not at all what I would have expected. Sony and TCL have signed a memorandum of understanding, which is ‘business-speak’ for they are partnering up in the home cinema world.
But what does it mean? I’m not fully sure, and I don’t think anyone can say for certain until the partnership is signed, sealed, and delivered sometime in March 2026.
I would have expected Panasonic, not Sony, to be the partner in this situation if you asked me a few months ago.
But this deal is not TCL acquiring Sony’s home cinema division as such, but a new venture that leans on the expertise of both companies experience in technology, production, manufacturing and customer sales.
But again, what does it actually mean?
The end of BRAVIA TV?
The first thing to note in this strategic partnership (51% TCL, 49% Sony) is that what eventually comes out of it, it is expected (which suggests it’s still up for discussion), to have the Sony BRAVIA badge on TVs and home audio products, but seemingly not its projectors.
Does that mean TCL’s branding will be replaced? I’ve given a magic 8-ball a shake and it’s replied “unclear”.
Sony’s response to the ‘Memorandum of Understanding for Strategic Partnership’ doesn’t offer up many clues in the here and now.
“At this stage, the announcement reflects an initial memorandum of understanding, and further details are still under discussion. We will communicate further at the appropriate timing when there is confirmed information to share.”
So allow me to speculate from here on out…
The BRAVIA branding has more familiarity than TCL’s odd naming conventions (NXTPAPER is a strange name for a TV), but Sony wouldn’t enter into a partnership if punters were buying up all Sony BRAVIA TVs in stock.
BRAVIA is remembered by the older folks but I imagine it’s not stuck like glue to gen Tik Tok. BRAVIA is sticking around, it would seem, but it needs to cultivate a new audience without the big price tag.
I don’t think Sony has helped itself with pricing, though the last few years it has consolidated its line-up with fewer models (in typical Sony fashion, it hasn’t necessarily made it easy to understand, especially with its soundbars).
It doesn’t produce as many models as it used to, and it hasn’t launched as many new TVs either (I’m only expecting a couple new models for 2026). It has shrunk its options, deliberately, and I suspect that’s reflective of a shrinking market share, a problem also faced by Panasonic, Philips and others.
And what does it mean for its OLED TVs? Sony has always been display agnostic but TCL is frosty towards OLED; and I’m talking degrees in Kelvin, not Celsius. TCL favours LCD panels but Sony has also performed a slow-dance from OLED to the embrace of LCD/Mini LED.
Sony has just two OLED TVs in its line-up – the Bravia 8 and Bravia 8 MkII. While I’d have expected a replacement for the Bravia 8 in 2026, after this news I’m not sure I’d hold my breath on that – I might end up fainting.
When I met with Sony at IFA 2025, they implied they’d still condier OLED TVs in the future. Would this announcement throw a spanner in the works?
If you can’t beat them, join them
I’ve written about this previously, but there has been a sea change from the 90s in terms of the landscape of the TV industry. Back in 90s, it was the likes of Sony, Panasonic, JVC, Sharp, Toshiba – all Japanese-based companies I might add, that dominated the scene.
Then Korean competitors emerged with Samsung and LG in the late noughties, and they brought new ideas and innovation to the market, leaving its Japanese competitors lagging behind. Now, Chinese companies such as TCL and Hisense have transformed the industry with their scale and ability to hit lower prices.
I wouldn’t say that TCL or Hisense have been as innovative as their Korean or Japanese counterparts. But they’ve driven costs downs and brought the entry-point prices to higher quality TVs down – though I imagine the likes of Sony, Samsung, LG and Panasonic aren’t too happy about lower prices.
But if you can’t beat them, join them, and that seems to be the crux of this partnership. It doesn’t seem to touch any of Sony’s strictly audio products such as its headphones and wireless speakers – and let’s be honest, I think TCL are getting the better end of this deal.
Sony largely make better quality TVs and soundbars, and its expertise and knowledge, especially in image processing is the secret sauce that is class-leading.
Should Samsung be worried?
This was one of my first thoughts upon reading the news. This new company seems well-matched to take on Samsung, and Samsung has had TCL in its sights for a couple of years now. Whenever Samsung eyes up a rival and starts flinging mud at them, it’s a sign that they’re a threat.
And matching Sony’s skills with TCL’s scale is a partnership that might worry some in Samsung’s Suwon towers. After all, Samsung had largely fended of Sony in the early 2010s as it began its run of selling the most TVs each year, a run that’s now hit an astonishing 20 consecutive years.
But TCL (and Hisense) have done things that Sony, Panasonic and not even LG has been able to do, beating Samsung in some areas of the market. Currently, big-size TVs is a kerfuffle between Samsung, Hisense and TCL; each one trading press releases that mentioned they’ve sold the most (we’ve sold the most 85-inch TVs, we’re the best when it comes to 98-inch TVs!). RGB Mini LED will be another area where they’ll scrap.
What does it say about the TV industry?
I say that I’m not one for doom and gloom, but actually, I seem to be quite doom and gloomy recently; and this deal could be read as a slight positive or a slight negative. I see it as more of the latter.
Why? Well I don’t think consolidation is good for any industry – it tends to indicate that people are pulling up the drawbridge and shielding themselves from… something. Sony has shifted its output to premium TVs but that clearly hasn’t worked – people aren’t willing to pay more money, and if that’s the case, it’ll echo across the industry as if one company is feeling the effects, surely they all are.
Panasonic seem to be holding up a ‘For Sale’ sign for its TV business. Both Samsung and LG sold their LCD manufacturing plants, ironically, to TCL CSOT, making it one of the largest display manufacturers on this planet. Like Frankenstein’s monster, they’ve have inadvertently helped to create this ambitious, display hungry monster.
Since I’ve been writing about TVs, I’ve seen many technologies not just come and fade but either not make it to the start line or commit a false start. 3D TV, 8K, MicroLED – even 4K and HDR to an extent – haven’t really kicked on as most would have hoped. Most households still seem to be watching in HD.
I could see deals like the Sony and TCL partnership happening more often and I don’t believe less competition makes for a stronger industry. This is, after all, already an industry that pilfers ideas from one another (Samsung Frame TV, Hisense Canvas, LG Gallery etc).
The TV industry could really use some genuine innovation, much like when Samsung introduced smart TVs. Since then the industry has struggled to find a new cash cow as low-cost TVs have become popular.
The jury, at the moment, is out on whether this partnership can give the industry the juice it needs to propel it forward. When the gavel slams to ratify this deal, both Sony and TCL will be hoping it could upset the current established order.
We’ll see what this partnership looks like in April 2027 when it’s expected to commence operation, and possibly the first fruits of its labour at CES 2028. There’s still a long way to go before we see the full picture of this deal.
