News + Trends
Panasonic on the brink of TV withdrawal? The traditional manufacturer is considering withdrawal
by Luca Fontana
Change of strategy at Panasonic: More China, less in-house production
24.2.2026
Translation: machine translated
Will Skyworth soon be building Panasonic televisions? The traditional Japanese manufacturer is entering into a far-reaching partnership with the Chinese TV giant.
Panasonic enters into a «comprehensive strategic partnership» with the Chinese manufacturer Skyworth.
Skyworth will take over sales, marketing and logistics for Panasonic televisions in Europe. However, the Japanese manufacturer intends to remain responsible for quality assurance, audio-video expertise and compliance with the familiar picture and sound standards. There is even talk of joint development for high-end OLED models.
The implementation will be regional. Europe is explicitly named as a key strategic market. From April 2026, the Entertainment Division will also be more closely integrated back into the Panasonic Group. Panasonic will remain responsible for customer service - including for devices sold from April 2026 onwards.
Is Panasonic giving up TV production completely?
This is where the interpretation begins. The official announcement does not explicitly state that Panasonic is discontinuing production completely. At the same time, it talks about «global development, manufacturing and scaling capabilities» that Skyworth brings to the table. It also states that Panasonic will rely more heavily on the industrial scaling power of the partner in future.
There are two ways to read this:
- Variant 1: Panasonic effectively stops building televisions itself and reduces itself to a brand and quality authority. The industry portal Ars Technica, for example, believes in this version
- Variant 2: Although Panasonic no longer primarily produces itself, it retains production facilities at least outside Europe and remains heavily involved both technically and in the development phase - particularly in the premium segment. This is how Heise interprets it, for example.
The truth probably lies somewhere in between. One thing is clear: operational responsibility is clearly shifting towards Skyworth. However, the press release clearly does not mention a pure licence model - i.e. «Skyworth builds the TV, slaps the Panasonic logo on it and sells it as such in Europe». Panasonic continues to emphasise its role in development and quality assurance.
Why is Panasonic taking this step?
Panasonic was once the king of plasma, but has focussed heavily on the premium segment in recent years. The problem: high-quality OLED and mini-LED devices can cultivate an image, but earn too little money on the mass market. There have therefore been rumours for months that the Japanese company needs to make a fundamental change.
Skyworth now has exactly what Panasonic has increasingly lacked in recent years: the ability to produce televisions in large quantities and distribute them efficiently worldwide. Skyworth operates its own factories, manufactures many key components itself and can therefore buy more cheaply and produce more quickly. And if you build a large number of devices, the costs per unit fall. In other words: scaling.
Panasonic, on the other hand, traditionally stands for image quality, image processing and technical fine-tuning. Put simply, the Japanese know what a television should look and sound like. Skyworth, on the other hand, knows how to build them efficiently in large quantities and bring them to the shops.
Do Panasonic and Skyworth do the same as Sony and TCL?
No. Sony and TCL are planning a new joint company - a so-called joint venture. Both will bring their TV business into a new company, in which TCL will hold 51 per cent and Sony 49 per cent. However, TCL and Sony want to continue to operate as independent TV brands, develop their TVs independently and perhaps even compete with each other.
As long as this is true, a Sony TV will remain technically strongly characterised by Sony, even if more hardware comes from TCL in the future and TCL wants to benefit from Sony's know-how.
The situation is different for Panasonic and Skyworth. Although no new company is being created, Panasonic is delegating significantly more expertise to China than Sony, with Skyworth taking over sales, marketing, logistics and a large part of production in Europe. Skyworth's influence is likely to be greater, particularly in more favourable segments.
However, both cases show a clear trend: more and more traditional Japanese brands are seeking the industrial strength of Chinese manufacturers. While South Korea (Samsung and LG) and China (TCL, Hisense and Skyworth) dominate the TV market through scale and price, Japanese brands are increasingly focussing on cooperation instead of in-house production.
Header image: Shutterstock
Luca Fontana
Senior Editor
Luca.Fontana@digitecgalaxus.chI write about technology as if it were cinema, and about films as if they were real life. Between bits and blockbusters, I’m after stories that move people, not just generate clicks. And yes – sometimes I listen to film scores louder than I probably should.
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