Sony's decision to form a TV joint venture with TCL is being read in South Korea less as a routine corporate reshuffle than as a structural challenge to the country's long-held dominance in premium TVs and OLED panels. The deal has triggered unease not only about Sony's future role in TVs, but about whether Samsung Electronics can continue to dictate the industry's technological and competitive agenda.

Sony Group has decided to spin off its TV business and place it into a joint venture controlled by TCL, marking the company's formal retreat from a segment that once defined Japan's consumer-electronics prowess. The move underscores Sony's strategic pivot toward higher-margin businesses—gaming, music, and film—while reflecting a broader, decades-long withdrawal by Japanese firms from mass-market home appliances.

Sony Corporation and TCL Technology have signed a memorandum of understanding to form a joint venture that will take over Sony's home entertainment business, including TV and audio product R&D, manufacturing, operations, and after-sales services. The new entity is expected to begin operations as early as April 2027, effectively placing the future of the Bravia brand under TCL's operational control.

TCL has risen to second place worldwide in TV shipments, trailing only Samsung Electronics, as the Chinese electronics group leverages supply chain integration and display technology development to gain share in the global TV market.

Apple is widely expected to mark the 20th anniversary of the iPhone in 2027 with a redesigned model, and South Korea's two dominant display makers—LG Display (LGD) and Samsung Display (SDC)—are already positioning themselves for the project. But industry watchers in South Korea say the two companies are doing so with noticeably different levels of commitment.