The signing of a definitive, legally binding strategic partnership agreement for the home entertainment industry announced Sony. The move follows a January memorandum of understanding between the companies, which laid the groundwork for deeper cooperation.
The new entity, called Bravia, will combine Sony’s television business, including the production of TVs, corporate displays, projectors and audio devices. TCL will hold a controlling stake – 51% – while Sony will retain 49%. As part of the deal, TCL will receive a 100% stake in Sony’s Malaysian manufacturing unit (SOEM). Also, the parties continue to discuss the possible transfer of a stake in the Chinese division SSVE.
The valuation of the joint venture together with SOEM assets reaches 102.8 billion yen (approximately 980 billion won), with the final amount to be approved after the deal is finalized and regulatory approvals are received. The Sony and Bravia brands will be retained and continue to be used.
The companies expect to achieve synergies by combining Sony’s strong premium image with TCL’s price competitiveness. Sony emphasized that the new structure will focus on creating innovative solutions in the TV and home audio segment, focused on the global market and sustainable growth.
Experts believe that the emergence of such an alliance will increase pressure on Samsung Electronics and LG Electronics. Despite the fact that South Korean manufacturers have already staked on premium technologies such as OLED and LED, the new player may change the balance of power precisely in the high price segment.
Earlier, analytical company Sigmaintell noted that if the partnership is successfully implemented, TCL is able to take the first place in the world in the supply of televisions by 2027. According to its forecasts, TCL’s share may reach 16.7%, while Samsung Electronics will occupy about 16.2% of the global market.
