Sony Group is spinning off control of its home entertainment business, including the flagship Bravia television brand, to Chinese rival TCL Electronics, the latest Japanese company to cut exposure in the low-margin segment.
The PlayStation-maker said Tuesday it will sell a 51% stake in its home entertainment arm to TCL. The two companies intend to set up a joint venture that will begin operations in April 2027 to produce televisions carrying the Sony and Bravia names but use TCL’s display technology, according to a statement.
Shares of TCL soared more than 16% in Hong Kong, notching their biggest intraday gain since April 2025. Sony’s stock dipped 0.9% in Tokyo on Wednesday.