The history of Sony

1. Founding and Innovation in Post‑War Japan (1946–1950s)

Sony’s origin story begins amid the ruins of post World War II Japan.

In 1946, two visionary engineers – Masaru Ibuka and Akio Morita – founded Tokyo Tsushin Kogyo K.K. (Tokyo Telecommunications Engineering Corporation). Ibuka had previously led electronic development efforts during the war, and Morita brought strong business and marketing acumen. With just ¥190,000 in capital and about 20 employees, their goal was simple but ambitious: build a company grounded in free thinking, technical challenge, and contribution to society through technology.

The name “Sony” did not exist yet; that would come later.

Early Products

Sony’s earliest products reflected the economic reality of post‑war Japan. Their first offerings included rice cookers — a practical appliance in high demand — before the company pivoted to electronics that had broader consumer appeal.

However, the product that truly set Sony on the global path would be its transistor radio.

Transistor Radios: Sony’s First Global Impact

In the early 1950s, as transistor technology emerged in the United States, Tokyo Tsushin Kogyo capitalized on it to create pocketable radios. These radios were among the first of their kind in Japan and brought the Sony name (though the brand was still in its infancy) to international recognition.

This era also saw Sony briefly adopt its official name and international brand in 1958, when Tokyo Tsushin Kogyo became “Sony Corporation.” “Sony” was coined from sonus, the Latin word for sound, and rooted in the desire for a term that would resonate globally rather than be tied strictly to Japanese identity.

2. Global Expansion and Breakthrough Products (1960s–1970s)

Sony’s momentum through the 1950s laid the groundwork for global expansion and bold technological bets.

Establishing Presence in the United States

By 1960, Sony had set up Sony Corporation of America — headquartered on New York’s Fifth Avenue — bringing Sony products directly into the U.S. market. Their Japanese flag flying at the Fifth Avenue store was symbolic: Japan had transformed from war adversary to global technology exporter.

Trinitron: Colour Television Innovation

In 1968, Sony introduced the Trinitron — a color television system that would define a generation of TV sets. With brighter colors and sharper images than competitors, Trinitron became a gold standard in broadcast quality.

The Betamax Story

Sony’s home video ambitions peaked in 1975 with the Betamax video cassette recorder (VCR). Betamax delivered superior video quality, but its higher cost relative to VHS — and the decision to limit licensing — led to its eventual loss in the format war. Nonetheless, Sony’s Betamax remains a case study in technology leadership and market strategy.

By the end of the 1970s, Sony had built a reputation as an electronics giant — designing products that were simultaneously technically innovative and beautifully engineered.

3. Entertainment Assets and Media Power (1980s–1990s)

The 1980s were transformative for Sony — not just in electronics, but in entertainment and media.

CBS Records and Sony Music

In 1988, Sony acquired CBS Records for approximately £2 billion, creating Sony Music Entertainment (SME). This move instantly made Sony a global force in the music industry, bringing iconic artist catalogues and cultural influence under its umbrella.

Columbia Pictures and Hollywood Presence

Just a year later, in 1989, Sony purchased Columbia Pictures from Coca‑Cola. The purchase included not just a film studio, but a foothold in Hollywood — enabling Sony to produce and distribute movies worldwide.

This combination of electronics hardware, music assets, and media production set Sony apart from competitors and laid the foundation for decades of cross‑platform influence.

4. PlayStation Revolution and Digital Diversification (1990s–2000s)

Though Sony’s entertainment strategy was strong, one of its most iconic legacies came from gaming.

PlayStation: A Game Changer

In the early 1990s, Sony — then primarily an electronics and media company — entered the video game console business. Its decision to challenge Sega and Nintendo culminated in the PlayStation, launched in 1994.

The original PlayStation became a cultural phenomenon, driven by:

3D graphics that outpaced competitors
A strong third‑party developer community
Games like Final Fantasy VII, Gran Turismo, and Metal Gear Solid
Broad appeal beyond traditional “gamer” audiences

Since then, Sony’s PlayStation brand has become a central pillar of the company — spawning multiple succeeding consoles and connecting millions of players worldwide.

PlayStation as an Entertainment Ecosystem

Under Sony Interactive Entertainment (SIE), PlayStation expanded beyond hardware to include:

Online services (PlayStation Network)
Digital distribution of games
Video showcases like State of Play (introduced 2019) to communicate directly with fans globally

By the 2000s, Sony was no longer just a manufacturer — it was a platform and entertainment ecosystem.

5. Crisis, Restructuring, and New Worlds (2010s)

The 2010s represented a challenging decade for Sony. After peaks in the 2000s, the company faced:

Increasing competition from Samsung, Apple, and Chinese technology firms
Pressure on traditional consumer electronics margins
Shifts in media consumption (e.g., streaming vs. physical media)

Yet this period also saw Sony reinvent itself.

From Electronics to Imaging Leadership

Sony’s image sensor business — once a niche segment — grew into a global force. CMOS image sensors, especially, became critical in:

Smartphones
Automotive systems
Industrial and security cameras

By the mid‑2010s, Sony was supplying imaging sensors to major smartphone manufacturers globally, shipping hundreds of millions of units per year.

This strength helped buffer Sony’s performance even as other product categories (like traditional TVs) saw declining profitability.

6. Sony as a Creative Entertainment Company (2020s)

In the 2020s, Sony completed a significant corporate restructuring to emphasize its creative and entertainment potential.

Holdings and Identity Shift (2021)

On 1 April 2021, Sony reorganized. The parent entity became Sony Group Corporation, and Sony Corporation became a subsidiary focusing on electronics. This consolidation unified Sony’s brands under a single, strategic holding, enhancing autonomy across business units.

The move signaled Sony’s evolution into a Creative Entertainment Company — blending consumer technology, gaming platforms, media production, music, imaging, and financial services in a differentiated portfolio.

7. Recent Strategic Moves and Future Directions (2024–Early 2026)

The mid‑2020s have again been a period of transformation and strategic recalibration for Sony Group.

2025: A Year of Strategic Reinvention

2025 was marked by bold initiatives and corporate restructuring.

Sony Financial Group Spin‑Off

One of the largest shifts in 2025 was the partial spin‑off of Sony Financial Group — including Sony’s banking, insurance, and credit services — into an independently listed entity. This allowed Sony to focus its core resources on high‑growth, creative technology and entertainment businesses while giving the financial arm separate capital markets access.

This strategic move reflected a trend among conglomerates: complex legacy businesses can become value‑draining if not aligned with core growth areas. Sony’s pivot freed management and capital to invest in gaming, media, sensors, and other future technologies.

Product and Design Recognition

Throughout 2025, Sony continued to reaffirm its technical excellence — earning multiple accolades at prestigious industry awards like the 2025 EISA Awards. Sony products such as the Alpha 1 II camera, advanced lenses, and WH‑1000XM6 noise‑cancelling headphones were recognized for innovation and performance.

Bravia Core and Streaming Innovation

Sony continued to evolve its consumer entertainment offerings. For example, Sony Pictures Core (formerly Bravia Core) expanded its reach as a streaming service across devices including PlayStation consoles and Xperia smartphones.

These moves underscored Sony’s strategy of connectivity and ecosystem integration — blending hardware, media, and digital services.

Late 2025: Brand Expansion and Media Reach

Sony continued to expand its entertainment footprint in late 2025 with strategic content acquisitions.

Peanuts Franchise Majority Stake

Notably, Sony dramatically increased its ownership in the Peanuts franchise — acquiring an additional stake from WildBrain to bring its total holdings to 80 %. Iconic characters like Snoopy and Charlie Brown — beloved across generations — now sit firmly within Sony’s global portfolio.

This acquisition illustrates Sony’s transition from electronics maker to media powerhouse — owning and managing intellectual property with deep cultural resonance and ongoing monetization potential via streaming, merchandise, publishing, and beyond.

Apple TV+ has extended exclusive streaming rights for Peanuts content until 2030, alongside plans for new animated features — a vivid example of how Sony’s media interests intersect with global digital platforms.

January 2026: Strategic Restructuring in Consumer Electronics

In early 2026, Sony announced a major strategic shift:

TV Business Joint Venture with TCL

Sony revealed plans to cede control of its television and home entertainment device manufacturing operations to Chinese giant TCL. Under the planned joint venture, TCL will hold a 51 % majority stake, while Sony retains 49 %. The newly formed entity will handle design, production, sales, logistics, and customer service for Sony’s Bravia TV line and other home entertainment products — while still using the Sony and BRAVIA brands.

This decision reflects broader industry pressures:

Declining margins in the global television business
Intense competition from lower‑cost manufacturers
The need to prioritize high‑growth strategic segments

By partnering with TCL — which brings vertical manufacturing scale and cost efficiency — Sony aims to sustain brand prestige at the premium end while enabling broader market reach.

The transition is expected to take effect by April 2027, subject to regulatory and operational approvals.

Sony’s Commitment to Sustainability and Future Technologies

Sony’s corporate strategy for the coming decade also embraces environmental and social responsibility. At ISE 2026, the company highlighted initiatives under its Green Management 2030 framework, which include:

Reducing greenhouse gas emissions across the value chain by over 25 % by fiscal 2030
Sourcing 100 % renewable electricity for all operations
Cutting non‑circular plastics in products and packaging
Broadening sustainability across customer experiences and operations

This aligns with broader strategic initiatives in imaging, professional AV solutions, and enterprise offerings — fields where Sony seeks long-term growth and relevance.

Conclusion: Sony’s Legacy and Future Trajectory

Sony’s history is not just a record of technological achievements or corporate milestones – it’s a story of reinvention.

Over eight decades, Sony has:

Pioneered major electronics categories (transistor radios, Trinitron TVs, cameras)
Built one of the most influential gaming platforms in history (PlayStation)
Mastered global media with Sony Music and Sony Pictures
Navigated crises, restructuring, and changing markets
Reoriented itself around creative entertainment, networks, and digital experiences
Continued pushing boundaries in sustainability and professional markets